Selling a small business in Seattle is rarely as simple as putting it on the market. There are often a lot of things that will need to be done to make the business more attractive to potential buyers as well as to maximize the return for the business owner.
Taking the time to prepare businesses for sale is an essential part of the sales process. To know what needs to be done with the business start by working with a top business broker.
The Role of the Broker
For a small business seller, the role of the broker is more than just in the marketing and the actual sale. The broker is involved in providing a valuation, which is the first step in the process.
With a top broker completing the valuation the business owner will have an objective, accurate price for the business. Additionally, the broker will often provide a list of suggestions to help to increase the value of the business. This is a very important step as these pre-sale tasks can help to make the business much more attractive to a wider range of potential buyers.
Firming Up Deals
Many times a small business owner has a very good relationship with their buyers and their suppliers. This is rarely formalized, but rather a handshake type of arrangement.
By formalizing the relationship with agreements or contracts, the business can increase its value. New buyers can rely on the fact that specific suppliers and customers will continue to do business with the company for the rates outlined in the contract or working agreement.
Role of the Owner
One very common issue with small businesses in Seattle and across the state is the owner’s role in the day to day operation of the business. The owner may literally be the entire management team, which means when the current owner leaves there are no managers to continue the daily operation of the company.
In these businesses for sale, it is often highly recommended to bring in a management team or to delegate responsibilities to the existing managers. This gives a prospective buyer the confidence that the company can continue and the managers know the business to allow for the transition to go smoothly.
Other issues such as extending leases, upgrading technology or getting rid of old, outdated equipment can also be helpful in increasing the value of a business and speeding up the sale. The broker will evaluate each of his or her businesses for sale and determine which steps to recommend based on their findings.
