Top four tips for selling your business
Based on over 50 years of corporate finance experience, here are Pomanda’s top four tips for selling your business are:-
1. Aim to have at least 3 years trading history – in addition, a good profit trajectory will make you very attractive to potential buyers
2. Time your sale for the end of your financial year – it makes due diligence much easier and means all of your financials are up to date
3. Sell when you don’t have to – this improves your negotiating power as you always have the option to walk away. If you have to sell, then your leverage is much reduced and this will be reflected in the sale price
4. Start planning in advance – it takes a long time to sell your business. And can often take as long getting your financials in order prior to the sale. The average sale takes just under a year to complete, so have your systems and teams in place to support the distraction to the business
We hope you agreed with our top four tips for selling your business – let us know what your top tips are.