How to Sell Your Business
Selling your business is one of the most important decisions that you will make.
For many business owners, the sale of their business is the largest financial transaction of their life.
So when it comes to making the decision to sell your business, taking the proper steps is important if you want to:
- Maximize the value of your business
- Minimize the tax that you pay
- Minimize the expenses that you incur to sell your business
- Get the best possible terms when you sell your business
- Achieve your dreams
Who Do You Need to Help You Sell Your Business?
It is important to assemble the right team of professionals to help you sell your business.
But selling a business is more than just getting the business sold. You want the right team of advisors to make sure that your interests are protected and that you achieve your goals for the sale of your business.
Your Business Sale Team should include:
1. Accountant
Since most buyers will rely heavily on your company's financial performance when deciding whether to purchase your business, you need to have your financial house in order.
You need to make sure that your accountant has prepared the last three years of financial statements, and that your year-to-date financials are current.
In addition, your accountant can collect other documentation that a buyer may request as part of the due diligence process.
Finally, an accountant can also ensure that the business sale transaction is structured in a way that will reduce the amount of tax that you pay on the sale of your business in BC.
2. Lawyer
A lawyer will be needed in order to draft the Business Sale Agreement between the buyer and the seller.
In addition, the lawyer will assist with holding and transferring money between the buyer and the seller.
3. Banker / Lender
When deciding to sell your business in BC, it is always a good idea to meet with your banker or lender and advise them of your plan to sell.
This has many benefits, the most important of which may be the Lenders familiarity with your business, and their willingness to provide funds and financing to your buyer.
4. Financial Planner
Before you make your final decision to sell your business, it is a wise idea to contact a financial planner to ensure that the proceeds of your business sale will provide the funds that you need to retire, or to pursue another business venture.
5. Business Broker
A BC business broker is a key member of your team and will help you:
Value Your Business
An accurate business valuation is critical to ensure that your business is priced correctly.
A professional business broker like Stonebridge Business Brokers of BC will be able to determine the value of your business in light of current and ever changing market conditions.
Market You Business for Sale
A BC business broker will have access to qualified buyers who have the financial capability and the industry experience to purchase your business.
In addition, and experienced BC business broker will create compelling marketing and sales material about your business that will generate interest and offers in the marketplace.
Negotiate on Your Behalf
Selling your business can be an emotional experience.
But the emotions of a seller can ruin negotiations. A business broker will communicate effectively and professionally with your buyer to make sure that negotiations stay on track.
Get You the Most for Your Business
A business broker will ensure that you will get the maximum value for your business.
There are no second chances when it comes to selling your business, so you need to get it right the first time.
While there is a cost to working with a BC business broker, they will likely get you a price for your business that you could not have got on your own.
Thinking of Selling Your Business?
If you are thinking of selling your BC business, it's important that you have the right professionals to guide you through the process.
By assembling the team of professionals that we have suggested, you will ensure that the sale of your business is seamless and that you reach your financial goals.
At Stonebridge Business Brokers, we are experts at selling businesses in BC.
We offer FREE business value estimates for business owners who are thinking about selling their business.
You can contact us at:
Phone: 1-604-866-2236
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