How do I sell my business?

So its time to sell.

Whether you have been working in /on your business for a short time or have been there your whole working life, we all get to a point where its time to move on.

The decision can be a hard one to make but usually when its made we want results straight away.

Our job is to guide you through this process to facilitate a smooth transition .

The key is really planning for your succession.

Here are a few tips to consider BEFORE you go on the market:

• Have your financials up to date and lodged. Engage your financial advisor to prepare the business for sale – including an add back schedule/normalisation of accounts.
• We highly recommend a ‘pre sale health check’ chat with Nigel – industry benchmarks will affect the potential purchase price (rent ratios, staffing ratios, etc)
• Check your Franchise/Licence agreement for your head office expectations for when a franchised business is sold. Speak with your representative for their understanding of any exiting requirements to be fulfilled by you. They may have pre-existing and qualified buyers waiting for their opportunity.
• Check your lease – how much longer is it in play with options ? You really need to be looking at a 10 year lease (including option periods) for the purchaser
• Have a current plant & equipment list – not the value but rather the items going with the sale of the business
• Start the tidy up of aged stock being held, the workshop and other areas within the premises that need some love. We all have those spaces !!

Of course these are just a few- and are the prep work to make the process as straightforward as possible.

The next steps include considering

• How are you going to sell? As business brokers we only recommend going through a professional ( see our link to what does a business broker do?) but there is the option of selling yourself
• When securing a broker you need someone who knows what they are doing, who you will be able to work with closely, who you will trust and who can be honest with you and aligns with your values. Talk to industry colleagues, talk to brokers and of course then talk to us!

Feel free to reach out to Nigel Chynoweth and Kieran Sajuja to discuss how to get ready to sell.