SHOULD YOU CONSIDER SELLING?
The decision to sell a business is often a difficult one because of
the profound personal and financial impact to the business owner.
Many different influences bring business owners to this decision,
including:
- Worrisome exposure
to business risks often aggravated by personal guarantee loans
- Tired of, or bored
with the business
- Possible failure
of the business if one or more owners become seriously ill or
disabled
- Personal
preference of the owners to retire or simply change their
lifestyle
- Divorce or
dissolution of partnership
- Owner's desire to
pursue other business interests which may be more challenging or
less stressful
- Lack of sufficient
working capital
- A need within the
company for new skills, new resources, or a new philosophy to
cope with ever changing economic forces, government regulations
and competition.
HOW
MUCH IS THE BUSINESS WORTH?
A business enterprise, like any
asset, is worth what a buyer is willing to pay. Just about every
industry has a "Rule of Thumb". Unlike many broker
firms, Citadel is well qualified to provide a complete evaluation and
marketing package for our clients before we begin to market your business.
Buyers ask countless questions, but they are primarily concerned with
a fair return on their total investment. In addition, prospective
buyers make many judgments about market position, proprietary
know-how, competitive strengths, quality of the assets, growth
potential, and risks of the business.
A professional business
broker helps the business owner determine the true value of the
business, and more importantly, can help prospective buyers understand
the reasons for such value and structure a sale for the maximum
benefit of buyer and seller.
IS CONFIDENTIALITY
IMPORTANT?
Sound working relations with employees, customers, suppliers
and bankers are important
factors to a company. Any premature indication of a possible change in
ownership could disrupt these relations and weaken the company's
competitive position. For these reasons, and many others,
confidentiality is critically important at all stages. With the proper
procedures, it is possible to minimize the risk of an untimely
disclosure.
In every transaction,
there is an appropriate time to reveal that a sale may be imminent.
Proper timing of these sensitive announcements can contribute to a
smooth transaction and reinforce the buyer's willingness to proceed to
a closing.
A professional business
broker helps to insure that all information about the business is kept
confidential throughout the entire selling process until it is
appropriate to reveal that a sale is forthcoming.
WHEN IS IT THE BEST TIME TO SELL?
Usually the best time to obtain the highest price occurs when the
sales and earnings are good and trending upward. A solid earnings
trend will enable a buyer to pay a higher price and still meet his
return on investment criteria. A history of good performance also
gives the buyer confidence in projected future earnings.
The seller's bargaining position is also strengthened by a profitable
record because the buyer realizes that the owner has the option of
keeping his company.
When the decision to
sell is made, preparing the business for sale should begin by
obtaining current financial statements, performing needed repairs, and
obtaining current market valuations before any efforts to market the
business begin.
WHO WOULD BUY IT?
For most companies, there are several categories of prospective
buyers. The most obvious are other companies in the same business for
whom the acquisition would be a logical expansion with potential
economies of scale.
Based on our experience
in selling many businesses, approximately 80% of the prospective
buyers are individuals who want to control their own future. Many of
them will be moving into the area from other states and countries.
They will consider retail, service, wholesale, or manufacturing
businesses.
CITADEL offers a local,
national and international buyer lists. We work with other Brokers in
our Network to find the right buyer or, buyers for your business.
WHAT CITADEL BUSINESS BROKERS PROVIDES
CONFIDENTIALITY
We can market your business without employees, customers, or
competitors knowing that it is for sale. This is important to the
smooth continuation of the business during the selling process.
KNOWLEDGE
Deciding to sell your business is only one part. How to go about doing
it can be the difficult part. Setting a price, advertising,
negotiating with a prospective buyer, and a variety of legal and
financial details need to be addressed. Also, most accounting in a
privately held company is done to minimize tax obligations and may not
portray the company in the best light. CITADEL BUSINESS BROKERS deals
with these issues everyday. CITADEL can re-cast financials to
address true maximum profits. CITADEL can also qualify buyers before
you spend valuable time with them. We can address the accounting,
legal and closing issues that come with the sale of every business. We
can work with your accountants, legal advisors and offer our own as
well.
TIME
CITADEL BUSINESS BROKERS can save you time and frustration when it
comes to selling your business.
We are the business experts who can guide you through every aspect of
the selling process - from arriving at a fair market price to handling
financial arrangements and closing the transaction.
We are good at what we
do. That is why so many of our clients come back to CITADEL BUSINESS BROKERS
MARKETING
Because so many businesses go on the market each year, selling a
business is a competitive ordeal. At CITADEL BUSINESS BROKERS, we can expose your business to prospective buyers not only in
your local area, but also throughout the United States. CITADEL does
this at no additional charge to you.
In addition, we screen
all buyers to determine their qualifications and interests. Because we
work with each potential buyer in finding the right business for his
or her needs, the prospects we bring to you are genuinely interested
in your business as well as capable of making a purchase.
Only a small percentage
of people who inquire about a business eventually purchase a business
of that type. While this can be frustrating if you are trying to sell
your business alone, it is a big plus if you are working with CITADEL BUSINESS BROKERS. Since we receive dozens of inquiries each month, the
fact that you listed your firm with CITADEL BUSINESS BROKERS increases
the likelihood of finding a buyer early in the selling process.
NEGOTIATIONS
Determining the right price, of course, is crucial. We will arrive at
a fair market price that you can feel good about. Because we know the
prices of similar types of businesses in your area in addition to
trends at work in the market we can do an expert job of getting the right price for you.
Because we screen all
inquiries, then schedule meetings with serious prospects at a time
convenient to you, you receive the combined benefits of convenience
and absolute confidentiality.
We handle negotiations in a clean, patient, professional manner that
keeps the business issues clearly in focus, rather than clouded by
emotions and personalities.
SUCCESS
We at CITADEL BUSINESS BROKERS are well-trained professionals who are
aware of your needs. In fact, we have experience as business owners.
Whether you are ready to sell your business now or are just beginning
to think about it, call us for a, confidential, no cost appointment.
We will be happy to answer any questions you may have.
CITADEL BUSINESS BROKERS
can make selling your business a successful, rewarding experience from
your first meeting with us to the day you turn over the keys to the
new owner.
If you are interested
in selling your business, contact us
.
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