If You Have Ever Thought of Selling Your Business, Now is the Time

If you were to log onto BizBuySell.com – the largest online service provider where businesses are sold –right now and put in “all” for a type of business with an owner benefit (EBITDA/SDCF) of more than $250,000, you won’t find much, if anything, that is suitable as a business that you could see yourself owning.

What you will find as you go through the listings on BizBuySell.com are many businesses that have tax returns that do not tie in with the stated gross revenue and/or owner benefit. After signing an NDA and showing you have the financial resources and skill sets needed to purchase, the process begins.

With most selections of potential businesses to buy, you will get very few of the facts you would want to see. The information provided will be poorly organized and in an unprofessional presentation, with very limited factual information about the business. You will be amazed at how little effort was put into the presentation. I know this to be a fact, because I do this each week to look for opportunities beyond my inventory for my buy-side customers.

You need those facts and a professional presentation to determine whether more time is warranted to pursue the opportunity.

Most businesses that survived the recent financial meltdown have now recovered from any lost sales and profits. The mass of Americans who are now age 60 or older, known as baby boomers, have not come to market yet. When the boomers do start putting their businesses up for sale, the market will change from a seller’s market to a buyer’s market. This will be due to the massive increase of inventory based on the number of boomers there are.

Consider that statistics show it takes an average of eight months to sell a business, and the likelihood of higher interest rates in the future. Consider that, as interest rates rise, that will reduce the value of your business. Consider the current upward, optimistic trend of the overall economy, and that it won’t last forever.

With the overall economic environment positive and growing, and low interest rates currently in place, this is the time to sell – the conditions are the most favorable and the inventory is limited. The worst time to sell is in a downward trend, a pessimistic economic environment, abundant inventory, and high interest rates.

If you would like a confidential conversation about how to prepare your business to be sold, feel free to contact me at 888-893-6661 or bobd@dolansales.com. My LinkedIn profile is: http://www.linkedin.com/in/dolansales.

If You Have Ever Thought of Selling Your Business, Now is the Time

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