Rock LaManna07.20.15
Many owners think selling is far simpler than it is. As if one day, they’ll decide to sell, sign some papers, and go home with a nice pile of cash. The reality is that selling is a complex process that someone can’t complete without proper guidance and resources. If you want to sell your business for an optimal price, here’s what you need to do:
1. Hire independent expertise – Few owners understand the importance, and return on investment, of spending money on top-notch experts. However, if you want to avoid being out-maneuvered at the negotiating table, mediocrity won’t cut it. Hire accountants, bankers and lawyers to help draft a contract and provide guidance. It’s their job to understand the nitty-gritty details, which can translate into a much better deal for you.
2. Seek emotional guidance – If you think you’ll be able to sell your business without second guesses and moments of fear and panic, you’re kidding yourself. Hiring a transitional expert, or Personal Coach, is well worth the money to keep a straight head throughout the process.
3. Solicit a valuation – One of the biggest mistakes owners make when selling is overestimating the value of their business. They let emotions interfere, and set their selling price based on the amount of money they want, rather than what the company is actually worth.
Ordering a valuation provides you an unbiased appraisal of your business’s worth that buyers will view as realistic and credible. Additionally, a valuation presents benchmarks indicating where your company needs improvement. So, if your offers are less than ideal, you can create a strategic plan to boost your company’s value, and thus it’s selling price.
Years after selling your business, you don’t want to look back at what could have been. Think strategically, seek expert advice, and you’ll be well on your way to a sweet deal.
Rock LaManna helps printing owners and CEOs use their company financials to prioritize and choose the proper strategic path. He is President and CEO of the LaManna Alliance, and provides guidance on how to grow a printing business, merge with a synergistic partner, make a strategic acquisition, or create a succession plan. Rock can be reached by email at Rock@RockLaManna.com.