Selling a business can be an emotionally confusing and financially complex process. Just setting a price can be difficult, and finding a buyer interested in your industry can be even more challenging. If you’re hoping to put your business on the market, here are a few important elements to consider.

What Should You Consider Before Selling a Business?

1. Give Yourself Time

Putting a business on the market takes much longer than selling a house or a car. Depending on the size of your business, just reviewing the finances and setting a price can take several months, so don’t expect an immediate sale.

2. Think About the Value

If you’ve spent years building your business, it’s understandable to attach some emotional value to the company. The actual value of your business is based on a variety of factors, including cash flow, overall earnings, and even the structure of the business.

3. Invest in the Offering Memorandum

Think of the offering memorandum as the initial listing that will attract buyers looking for an investment opportunity. This crucial document or web listing should include a comprehensive list of your company’s assets, profiles of senior staff members, an overview of products and services, and future earnings projections.

4. Pay Attention to the Terms of the Deal

While the selling price of the business is important, there are other factors that can have a more significant impact on your finances. For instance, the structure of the deal could have beneficial tax implications or determine who keeps certain business assets after the sale.

5. Be Prepared for Due Diligence

Before purchasing your business, buyers will need to conduct their due diligence, which can involve looking at everything from the finances to your employment records and other confidential information. These requests might seem intrusive, but the faster you respond, the quicker and more seamless the sale will be.

If you’re considering selling a business anywhere in the Lincoln, NE, area, Burch & Associates can make the process as easy as possible. Their highly skilled accountants have the training and experience to help with every step, from valuing the business to finding potential buyers and negotiating the terms of the sale. Follow their Twitter page for more news and updates, and visit their website or call (402) 483-4791 today to schedule an appointment.