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HOW TO KNOW WHEN THE TIME IS

RIGHT TO SELL YOUR SMALL BUSINESS

For some small business owners, selling their business might sound tantamount to selling their soul.

However, whether it is from necessity or desire, you might find that you need to put your small business up for sale.

What will you do when this time comes? You may not have an answer, especially if you

Next, we will discuss how to know that your business is ready to sell, and what you can do to prepare for it.

INTRODUCTION

Before your business is ready to go on the market, there are a number of prerequisites that your business must meet, including: Having a minimum of 2 to 3 years of tax returns and other

documents on the books that can show the profitability, productivity, and value of your business for the purposes of selling.

Time! Your business should have (ideally) existed for at least the same amount of time listed above. Additionally, make sure that you have enough time to see the selling process through to completion. This is not a simple process that will take a few months—it could even take years.

WHEN WILL YOUR BUSINESS BE READY FOR SALE?

So you’ve decided you’re ready to sell, what now?The fi rst thing you should do is assemble a team to help

you out with all of the necessary processes. Your team will likely include the following individuals: Accountant Auditor/Appraiser Attorney Consultant Business Broker

WHAT TO DO WHEN YOU ARE READY TO SELL

After you’ve gathered your team, go over your business’s paperwork and assets with an auditor to help determine your business’s value. You will work to determine an asking price based on many factors.

The rest of your team will become necessary if your plan progresses further, and will vary greatly based on the type of business you have and other specifi cs.

Remember that it is best to sell your business when it is at its highest value, not its lowest. Don’t think of selling your business as a way out if you have failed; instead, look at this process as a way to capitalise on your business’s success!

WHAT TO DO WHEN YOU ARE READY TO SELL

Lastly, regularly reevaluate your choice to sell your business to determine with certainty that you are making the correct choice.

None of the processes described earlier are permanent and none of them will lock you 100% into selling your business with no way out—so if you change your mind, feel free to stop the selling process dead in its tracks.

It is almost impossible to exactly determine how selling your business will aff ect your lifestyle and day-to-day life, so consider carefully before doing anything permanent.

In the end, do what feels right for you!

WHAT TO DO WHEN YOU ARE READY TO SELL