When you have eyes on moving on from your company and turning over ownership, will you make the right moves.
Getting all your affairs in order, finding the right price, what happens to your workers and more are key.
With that in mind, are you confident that sale you want will fall into place?
Don’t Jeopardize a Potential Sale with Any Wrong Moves
In looking to get the sale you desire, here are three keys to hone in on:
- Price – What is the desired asking price you have for your business? You want to research and see what similar type companies are going for these days. Do not undersell your business and live with regrets moving ahead. By doing the research needed to get a fair asking price, invest all the time and effort necessary. You want to understand how to value a startup so you do not get taken for a ride.
- Paperwork – Another key focus should be that all your business paperwork is in order. The last thing you can afford is a potential sale to be held up due to missing or inaccurate paperwork. That is why you may look to hire someone to get these affairs in order. Having an outside set of eyes to go over everything with you is not a bad idea. That will for one lessen chances of any glaring errors creeping into the picture. Also make sure there are no notable legal or financial issues you are dealing with. Red flags on your end could thwart your attempt to sell the business. If word gets around that there are concerns related to you and your business, it can be tough to sell.
- Employees – Do you have workers on your payroll? Unless you are the company’s only employee, you have others to think about. With that thought in mind, what happens to them should you look to sell is important. It is wise for you to be as transparent as possible with your team. Let them know you are in fact looking to sell as soon as you have decided to do so. While you can’t get into specific financial details with them, being upfront on a sales timetable is key. Also think about if you will put any specific language into a contract of sale. That would be that new ownership has to at least offer work to your team. In the event you are opening another business, would you offer jobs to the team you have now? Do what is right with the people who’ve been loyal to you over time. Finally, think about what your immediate future is likely to hold. Are you moving along to another business? That could be one you own or working for someone in the corporate world. Depending on your age and financial means, there might also be retirement in your near future.
As you look to sell your company, be sure and think each step through.
At the end of the day, you want it all to fall into place.