1. Treat Your Business as Your Investment
Your business is the culmination of years of effort and financial investment. Selling it requires careful planning:
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- Engage certified appraisers and M&A professionals to ensure you get the best return on investment.
- Understand your business’s true market value, not just industry “rules of thumb.”
2. Maintain Confidentiality
Keeping the sale confidential protects your business, employees, and stakeholders:
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- Use non-disclosure agreements (NDAs) before sharing sensitive information.
- Limit disclosure until the right stage to prevent disruption, loss of clients, or competitive pressure.
3. Get a Professional Valuation
A certified business appraisal identifies hidden value and growth potential:
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- Avoid relying on generic formulas; they may underestimate your business’s worth.
- Highlight intangible assets like brand reputation, intellectual property, and customer relationships.
4. Recognize the Value of Intangible Assets
Intangible assets often drive the majority of a business’s value:
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- Goodwill, licenses, patents, trademarks, and client lists can significantly impact sales price and tax planning.
- Properly accounting for these assets enhances buyer confidence.
5. Negotiate Strategically
Negotiation is both an art and a science:
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- Rely on professionals to negotiate the best price and terms.
- Consider letters of intent, deal structure, and contingencies to ensure a smooth closing.
6. Ensure Buyer Financing
Many deals depend on bank or SBA financing:
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- Confirm that potential buyers can secure funding before moving forward.
- Proper due diligence prevents deals from falling through at the last minute.
7. Consider Seller Financing
In some cases, seller financing can enhance value or facilitate a deal:
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- Structured payments can provide an interest-bearing annuity.
- Helps buyers who may not qualify for traditional financing, while potentially deferring taxes.
8. Leverage Marketing & Advertising Technology
Expose your business to the right audience without compromising confidentiality:
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- Use targeted platforms, industry publications, and direct outreach.
- A strategic marketing plan maximizes exposure to qualified, serious buyers.
9. Present Your Business Professionally
First impressions matter:
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- Ensure equipment, facilities, and operations are in top condition.
- Simple updates like fresh paint, clean lighting, and organized spaces can positively influence buyers.
10. Timing is Everything
The right time to sell impacts value:
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- Consider industry trends, strategic buyers, and market conditions.
- Experienced advisors can help you identify the optimal time to list your business.
Partner with M&A Experts
Selling your business is complex, but with strategic preparation and expert guidance, you can achieve the highest value and a smooth transaction.
At George & Company, we provide:
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- Professional business valuations
- Confidential buyer matching and deal negotiation
- Strategic advice tailored to mid-market businesses
Contact us today for a confidential consultation and take the first step toward a successful business sale.