8 Steps to Selling Your Business.

Get Expert Guidance on Navigating the Business Sales Process.

Selling your business is no small task. It requires a lengthy and complex process that demands careful planning and execution. It’s important to enlist the help of experienced business advisors who can guide you through the process. On average, it can take four to six months, so it's important to be prepared for the time commitment involved. With proper planning and the right support, you can make sure your business sale is successful.

8 Steps to Sell Your Business Infographic

1 - Select Your Business Advisors

It’s important to select the right advisors. Identify a reliable business broker/advisor, attorney, and accountant as a first step. These individuals will have a tremendous impact on the success of the sale, so be sure to take your time and select the best advisors for your needs.

2 - Determine the Value of Your Business

An experienced business valuator is key to obtaining an accurate and fair assessment of your business's value. Set the price too low and you could be leaving money on the table. Set it too high, and you may deter potential qualified buyers. By taking the time to get the right business valuation, you can help ensure you get the best price when you're selling your business.

3 - Create Marketing Sales Material

You want to make sure that you make a great first impression with potential buyers. That's why it's important to take the time to craft quality marketing information about your business. It could make all the difference in helping to establish the value of what you've built.

4 - Qualify Serious Buyers Only

Your advisor and business broker should be able to manage the process and qualify potential buyers. By doing so, you can remain focused on the day-to-day operations of your business and not wasting time on unqualified buyers.

5 - Manage Due Diligence

Due diligence is a critical part of the process. To ensure that the transaction is completed in a timely manner, it’s important that your advisor recognizes which requests are reasonable, know how to address any concerns without creating additional ones, and be able to efficiently manage the process.

6 - Skillfully Negotiate

Your advisor needs to know the right things to negotiate to get the highest market value for your business. They also need to know what’s not negotiable. With these skills, your advisor can ensure that you get the most out of the sale.

7 - Financing and Term Sheet Structuring

Once you have found a potential buyer for your business, the next step is to work out financing and term sheet structuring. Financing refers to how the buyer will pay for the business, whether through personal funds or external sources such as loans or investors. Term sheet structuring involves outlining the details of the transaction in a document called a term sheet. The term sheet serves as a roadmap for the rest of the transaction process and ensures that both parties are on the same page regarding expectations.

8 - Funding and Closing the Sale

The last step is to secure funding and close the sale. This process can take anywhere from a few weeks to several months depending on the complexity of the transaction. It's important to have all your financial documentation in order and be transparent about any outstanding debts or legal issues.

We’ve been helping people buy businesses for years and have the experience and know-how to make the purchase process smooth and straightforward. Whether you’re a first-time buyer or a seasoned veteran, Franprise Advisors can guide you through the steps required to purchase a resale business.