After many years of being in business, it becomes time to eventually sell. Business owners are usually reluctant to sell something they have spent many years building. They want their business to wind up in the hands of the most qualified buyers. So, when a business seller says to themselves, how do I sell my business, they should look to a qualified business broker in Austin, TX. Business brokers know how to put together a good business valuation, whether it be through historical earnings, discounted cash flow, or some other valuation method. Next, they will put together a list of potential buyers in the area or around the country. A business broker will contact those buyers and keep the business sale under strict confidentiality. From there, they will run an auction process to determine what the best offer may be.
While this process is not always easy, as their are a limited numbers of buyers for any closely held business. While many sellers think there are many different buyers for their business, this is only true in the most rare of cases, and usually only in certain types of industries. As a seller, the tact is to just be completely honest about your position in the marketplace. Once you decide, “I should sell my business”, then it comes time to put that plan into action. A good business broker around Austin Texas can help you put that plan into formal action. This will include gathering tax returns, P&L’s, balance sheets, bank statements and other pieces of financial information for the valuation process. Be wary of outlandish claims by business brokers who claim they can get something above five times cash flow for your business. They are either naive or something worse. We know the market, we know the numbers, we have the buyers. Call or email us and let us help. If you have thought, “I should sell my business in Austin”, then let us help you chart the way.