Massachusetts Business Broker
Massachusetts Business Broker | Many business advisors think valuations have declined during the COVID-19 pandemic. That can seriously affect the prospects of selling a business. Many Americans running a business are thinking to sell their business and retire.
Rebuilding a business after a recession is never easy. It may not be the best time to sell your business. However, if you create a good plan and consult a professional, you can still get the right price.
If you are looking for a Massachusetts business broker, we can help you plan an effective business selling strategy.
Are you Ready to Sell your Business?
Some businesses saw a surge in their sales. Most of the businesses witnessed historic sales decline. It will take time to resettle your business. However, delaying your business sale might work in your favor.
You should also remember that selling a business takes time. On average, a business sale transaction can take up to one year. You must prepare to sell your business with a longer wait time in mind.
Tips for Selling Your Business During COVID-19
It can be challenging to delay your business transaction plans right now. Reopening and resettling a business after a recession can be even harder. Consulting an experienced business broker can help you sort things out right now.
As a Massachusetts business broker, here are a few tips to help you sort out things with a business sell transaction.
Set Clear Goals
Set clear goals for selling a business. Some business owners would have wanted to sell the business for retirement in the calendar year 2020/2021. Some of them would want to sell it due to lost business sales.
Creating clear objectives helps you achieve them effectively. Say, you no longer have the desire to rebuild the business after the recession.
Consult a Massachusetts Business Broker
Do not rush to seasonal or part-time agents to work out the business sale plan. Consulting a professional and qualified business broker can help you devise an effective plan.
A business broker can work as an intermediary and an advisor at the same time for you.
Create a Business Sale Plan
As mentioned above, a business sale transaction can take around one year to complete or even longer during recessions. You can use this time effectively to boost the business valuation.
Work with a professional to create an effective plan according to your desired goals. Every business presents unique challenges and opportunities. Hence, you should create a unique and actionable plan.
Here are a few key points to include in your plan.
Clean up your Account Books
The first thing you should do is to sort out the account books. If you are working with a qualified CPA as a broker, it may be an added advantage to get advice on arranging the financials.
Check the Business Valuation
Business valuation can be performed in several ways. With declining sales, your business valuations at this stage can be low. However, you can work with the business broker to improve the valuation in the due time.
Address the Risk Factors
Declining sales, staff layoff, and diminishing cash reserves can be the prime risk factors during recessions for any business. These risk factors can severely affect your business valuation and sale prospects.
There can’t be a quick fix to such problems. However, you can work to gradually address these issues one by one.
Set the Right Marketing Plan
A Massachusetts Business Broker works as an intermediary. They are in the best position to market your business sale. A qualified and experienced business broker can help you find the right buyer with the right price.
Finding a suitable buyer in your locality can be challenging too. You’ll need to consider confidentiality at every stage during the marketing efforts.
Close the Deal Through your Massachusetts Business Broker
Once you negotiate the right price, it’s time to close the deal. At this stage, you should take care of legal paperwork. The business sale transaction will have tax implications that affect the deal. Again, consulting a professional CPA at this stage can help you complete the transaction smoothly.