Almost 70% of businesses won’t sell and what YOU can DO about it
Its true. Statistics show that most businesses are not able to sell when the owner is ready to retire or move on. Why is that?
To sum it up, the business isn’t attractive to potential buyers. Reasons for this can include:
- Financially the business compares poorly to competitors,
- The management team is not very strong,
- The owner is integral to the day-to-day operations and without them the company wouldn’t function
- Surprisingly, one of the biggest reasons is the owner is not ready to retire (even though they may think they are initially) and backs out of the sale at the last minute
What can you do about it?
Start preparing in advance. Get an analysis of the current state of the business exit readiness and the owner’s personal readiness from a Certified Exit Planning Advisor (CEPA®).
This will give you an understanding of how attractive your business is to a seller. It will also show what opportunities there are to increase the potential value of the business in the eyes of a buyer.
Then with the help of your advisor you can follow a proven process to increase that value and make it more likely to sell when you are ready.
Get more information find us at: https://www.cossroadsadvisory.com