November 10, 2021
When serious money is involved, it’s vital to have good advisors by your side. As you consider selling your business, whether due to changing life circumstances, retirement, or a career change, it is best to hire an expert to provide you with transaction advisory services. This will help you get a good handle on your entity’s value and develop a clear exit strategy as you move on to the next challenge.
As you prepare to sell your business, you want to avoid any potential messes, both financially and logistically. Any fears or doubts you have about the process will be eased by working with business transaction advisors. Ensure a seamless exit by avoiding these potential pitfalls.
When seeking transaction advisory services for your business, ensure that you get people specializing in your type of business, like a pharmacy or veterinary practice. Many owners work with advisors who simply aren’t a good fit for the role. When it comes to pharmacies, they struggle with the intricacies and don’t have good working industry knowledge. When it comes to veterinary practices, they don’t understand how the market sees companion animal or mixed practices. The last thing you want is an advisor who provides uninformed advice and doesn’t understand the parameters of selling your type of business.
Ensuring a successful exit means you must retain advisors who have the industry background to understand the value of your business and its industry.
Advisors will take the emotion out of the selling process, ensuring you don’t overestimate your business value. They offer constructive advice to highlight the best parts of your business and determine what aspects of the business need optimizing so you can improve your sale price.
Estimates get unrealistic once you rely on hearsay, rules of thumb, or getting advice from people who don’t specialize in the valuation. Good advisors compile empirical and verified data about sale prices in a specific region, substantiated by their experience within the particular industry. Backed by data and industry knowledge, advisors will give you the facts regarding how much your business is worth.
Selling your business is an arduous, stressful process that requires you to wear many proverbial hats at once while still focusing on your day-to-day responsibilities as an owner. Seeking transaction advisory services will handle much of your responsibilities, including documentation, calculating value, and gathering all the necessary information to help you make a clear decision.
The process does take time. Good advisors who have been through these scenarios before know how to proceed, so you don’t lose faith in the process. Also, they will know how to advise you should buyers decide to drag the negotiation process along or if buyers aren’t putting forward the offers you’re seeking.
Learn more about our business transaction advisory services today.