Are You Really Ready to Sell
Is the business ready for sale, is not the key question when making the decision to exit the organization that you built, grew, and nurtured over the years. “Are you emotionally ready to sell?”, is the paramount question. It sounds so very simple, yet the question is riddled with complexity. Truly being ready to sell involves more than having the organization’s books and records in place, or finding a buyer candidate, or being willing to share information about the business operations. Often the probability for success at completing a transaction resides with the mindset and emotional comfort level of the business owner(s).
In order to prepare for the emotional challenge of both the transaction process as well as any post-sale remorse two critical questions need to be thought through carefully. A) What will you do after the sale? B) Will whatever is next, satisfy and sustain your interests going forward? The answers to these key questions are critical to making the right decision and planning the path to follow.
There are several emotional sale indicators, as highlighted below, that are strong signs that you are ready and the time is right to consider a sale. If you are experiencing several of these, it is likely that your level of seller remorse after the sale will be low.
- Always Playing Defense – The competition level has increased and you constantly feel you’re under siege, yet you’re unwilling to invest to grow and drive your business forward aggressively. You are simply trying to hold on to what you have today.
- Always Working Uphill – The management of the business has been surpassed in terms of the team’s abilities and skills and struggles to effectively manage the size, scale, or complexity of the business.
- Waning Enthusiasm – You’ve become tired of the grind, going to the office is now a chore, you may even feel that you’re on an island within the company you built, and it’s just not fun anymore.
- The Continual Day Dream – Constant thoughts of changing careers, selling the business, or wondering about the experience of being in a different venture.
- Insurmountable Exit Strategy – The thought of spending the time to practically figure out what to do next seems tiring and insurmountable, leaving a feeling of despair and hopelessness.
To successfully sell a business many factors, both quantitative (e.g., financials, customer contracts, etc.) and qualitative (e.g. emotional readiness, timing, etc.), must align to accomplish the goal of finding the right buyer, completing a sale, and preparing yourself for the future. Although preparation and planning are the best methods for being ready to move forward, being emotionally ready is equally important.
Using the services of a professional advisor can greatly improve your chances for preparing you for a sale. Knowledgeable advisors can appropriately advise you on buying or selling a business.
For more information or to schedule a complimentary consultation please contact BridgeLane Advisors, at firstname.lastname@example.org.