A business owner who is serious about selling his or her business should be ready to answer the following questions:
  • How do you grow the company?
  • Does the company have monthly financial statements?  Are the annual financial statements prepared on a timely basis?
  • What is the company's competitive advantage?
  • If there are any employees working in the business, do they take pride in what they do and in the business itself?
  • What is the inventory turnover?  Does the company have to many suppliers?
  • Is the business introducing new products or services?
Buyers, as part of due diligence, usually employ accountants to check the numbers and attorneys to look at legal issues and draft or review documents.  Buyers may also bring in other professionals to look at the business' operations.  the prudent buyer is also looking behind the scenes to make sure there aren't any "skeletons in the closet."  It makes sense for a seller to be just as prudent.  Knowing what the buyer may be checking can be a big help.  A business intermediary professional is a good person to help a seller look at these issues.  They are very familiar with that buyers are looking for when considering a company to purchase.
When business owners consider selling, it will pay big dividends for them to consider the areas listed above and make whatever changes are appropriate to deal with them.  It makes good business sense to not only review them, but also to resolve as many of the issues outlined above as possible. Contact Corporate Investment Business Brokers if you are interested in BUYING or SELLING your business.
www.floridabusinessbrokers.com
cibb@cibb.net239-936-1718