Notes of interest
ENTREPRENEURS - 10 tips to sell your business
We approached the best advice to you to prepare the plan who you need to close the most important treatment of your life.
The majority of the people who decide to sell their company does not hope that this mission is easy. But also many are surprised of the difficult thing that it turns out to do a fair treatment, a good price and in a reasonable lapse. Mainly in present economic environment. If you are in this situation, it avoids that the frustration prevents you to obtain the greater possible benefit.
Great part of the frustrations and difficulties that the salesmen undergo can be avoided easily. How? Being conscious of the challenges that there are to face this process throughout, including the work after making the sale.
Impossible to obtain? The answer is no. For it, it executes each one of the following ten recommendations. You will see that in the end you will secure your objectives and will assure your tranquillity.
1. To prepare a strategy.
The lack of preparation is the most common error that the owners of small and medium businesses commit (SMEs). As well as one fixes a little its house before placing the signboard “is sold” in the facade, is important to consider several aspects key of your business before announcing that it is for sale.
The financial documentation (as general balance sheet and earnings statements), opened yield, lines of credit and until problems of personnel will influence so much in the viability of the sale, as in the price that the organization will reach in the market.
Therefore, once already you decided to sell your company, you immediately must begin with this process of preparation. The majority of the professional salesmen thinks that this must carry out at least two years before realising the transaction.
2. Not to trust too much.
One is worth to be sure that you are going to be successful and that you will sell your company to a good price. This attitude stops being positive when that confidence becomes the cause to leave to a side the tasks necessary to make reality your objectives. So you do not think that you will only do a fair treatment because from your perspective you think that your business is worth the pain.
On the real world, the value is based on criteria that can be quantified, not in the personal calculation of the owner. In order to avoid that your point of view prevails, it asks to a third party (specialized in the matter) that makes a estimate. When you have ready east calculation, it writes down the factors that could determine that its value increased. For example, an increase in the income of the company.
3. To delegate the sale to professionals.
You are an expert in the handling of your business, not in selling it! Even so, always he is surprising how many owners resist to engage professional agents to facilitate the sale. This because, sometimes, they want approximately to save 10% of the total value of the transaction corresponding to the honoraria of these people.
But what he is not taken into account in the majority of the cases he is that the agents of sales are able to add between 10 and a 12% at the cost of sale. Although in certain circumstances a “direct treatment” has sense, the certain thing is that a professional offers the advantage to solve important tasks, as being made position elaborate a strategy, prospecting clients and to negotiate the treatment.
4. To supervise all the process.
Once you have contracted an agent, your work finished, truth? For nothing! Unfortunately many salesmen commit the error of desentender itself of the process once they sign the sales contract. Although the work of the runner consists of placing your business in the market, insurance nobody more is motivated than you to make sure that well the things come out.
If not yet it beams, talk with your agent about the form in which you can promote of proactive way your company, without interfering in its work. As soon as there is a list of described buyers, you must be interviewed with each of them. It remembers that your interaction with the potential clients will influence of determining way so that your company is sold.
5. Precalificar to the buyers.
The agents of sales generally avoid to evaluate from the beginning to the prospectuses from fear of driving away them. The reality demonstrates the opposite, since it is more frequent than this motivates the people to deepen more in the sale.
Another advantage that offers to make an preevaluation is that it comes up that certain delicate information of your company falls in the mistaken hands. Also it assures that only the serious buyers have access to essential details. For example, agreements of confidentiality and financial antecedents of your business.
6. To always be objective.
As the salesman, most probable it is than you want to show your company from the most enhancing perspective. In some point during the sale process your agent or you will feel attemped to exaggerate numbers, to alter the projections and to even hide problems. Nevertheless, the distortion sends alert signals when the prospectuses review the numbers of the company. For that reason, it speaks with your runner and advises to him that it holds an objective position at any moment.
7. To learn to fix a price just.
The salesmen without experience lie down to fix a price (generally to the rise) before to have determined the value. The reason that this practical one is a great error is that the price is, by itself, the factor most important to determine inasmuch as time a business remains in the market.
The salesmen who take the time to realise an evaluation of the process before assigning a price base are more in touch with the values of the market. This way, better they are positioned to defend that price and to enjoy the advantages an expeditious sale and without complications.
8. To offer payment options.
The transactions in cash are not realistic in the present market of the companies that are for sale. Instead of to offer an enormous roll of tickets when closing the treatment, is more probable that the today buyers need concessions, as schemes funding, payments deferred or until consultant's office to secure credit of a third party.
If you think that this does not agree to you, it considers that the benefit as salesman is that if you distribute receipts of payment in a period of several years, you have the possibility of deferring the payment from the taxes.
9. To respect the confidentiality.
If the voice is run of which your business is on sale, it could affect of negative way the transaction and the relation with your work party.
A professional agent must know how how simultaneously to place your business in the market and of maintaining a strict confidentiality. If what you look for is a direct treatment, this is obtained if you orient your efforts of marketing research creatively to focus to you only in a defined group of potential clients.
10. To plan the transition.
Many owners concentrate so much in selling that they completely neglect the transition process that will happen after closing the treatment.
Perhaps some buyers will insist on which the old owner remains there during certain time to participate in the transition of proprietor and administration. Whereas others prefer to begin of zero.
Either cases are well, as long as the buyer and the salesman have spoken on this process and arrived at an acceptable adjustment for both parts during the negotiations.
An advice more: to sell your company does not have why to be the aim of your race as entrepreneur, on the contrary, it can be the principle of a new adventure in the world of the businesses.