HOW TO SELL YOUR COMPANY

HOW TO SELL YOUR COMPANY

Thinking of selling your company? This can be a big decision and many SME owners will only sell a business once in their lifetime. This guide will give you tips and advice on the selling process and what to expect.

1. VALUE YOUR BUSINESS

A valuation is the first step towards selling your business. It will give you an insight in to where you stand and help you plan towards your future. Intelligent Corporate can help you start this process with a free company valuation.

2. DECIDE YOUR EXIT LEVEL

Do you want to sell all of your business, or just a percentage? Would you be willing to stay working in the business for a handover period? These are all questions you should answer before putting your company on the market, as they are questions a potential buyer would ask too.

3. PREPARE YOUR ACCOUNTS

Any potential buyers will want to see copies of your financial documents. Make sure you prepare your Profit and Loss statements, details of any ongoing contracts and any other information about the business’ finances. Poor planning can slow down a sale and lead to lower offers.

4. ORGANISE YOUR MANAGEMENT

When selling a business, it’s important that your company will function without you. Structure your management team to make sure this is possible. A new owner may not want to oversee the day to day running of the business, so this will make your company more attractive to buyers.

5. APPROACH POTENTIAL BUYERS

Reach out proactively to parties you think may be interested. A corporate advisor will already have the experience and contacts in place for you. They will also be able to do this confidentially on your behalf, which can be important if you want your business sale to be private.

6. NEGOTIATE YOUR SALE

Negotiating involves more than just agreeing an offer. Other factors such as terms of payment, hand over periods and sale inclusions will need to be considered. This can be a lengthy process and involves working alongside solicitors. If you feel you won’t have the time to handle this on your own, it may be worth enlisting the help of a professional to progress the sale of your business for you.

Find out how Intelligent Corporate could help sell your company.