If you find yourself in the market to sell a transportation business, many factors will determine whether or not your sale is a success. One of these is your ability to listen to your buying market. If you know what the market is looking for, you can position your business to meet those needs, while simultaneously meeting your own goals for your business.
So how can you do this? Sale brokers like The Tenney Group can help, but you can also get your own feelers out there to see what the market is doing, and how it might affect the way you approach the pending sale of your transportation business. You simply need to know what to look for.
First, take a look at recent sales of similar businesses. If you can see what owners of businesses like yours are doing to produce a successful sale, it can give you insight into how to best market your business to make a successful sale. The structure of these successful sales gives you a model to follow. Also, the results of the sales can give you realistic expectations for what you may be able to get for your business.
Next, take the time to determine who might be interested in buying your business. If you have a clear picture of what your potential buyer might look like, you will better be able to target the right groups as you try to sell.
If your business is struggling, you may find it difficult to attract a wide range of buyers. However, some companies are looking to expand their existing service offerings. If companies are similar to yours but not quite the same, the fact that you are struggling may not impact their desire to purchase. If you can show how you can provide something of value to these companies, you just might be able to land a sale. This is where an industry professional can be invaluable, because they have the ability to get the inside scoop on what potential buyers are looking for.
Finally, consider whether or not the potential buyer will be able to get financing. The cash flow of your business is what is going to impact a bank’s willingness to lend. If your business is struggling, this could make it difficult for your potential buyer to make the purchase. You may find that lenders are not willing to give enough for the purchase price you want or need. In this case, you may need to look for buyers who are able and willing to pay some of the purchase price in cash.
These factors can be overwhelming to consider, and with a business to run, you may not have time to look into them on your own. That is why the right industry professional to broker the deal is so valuable. Consider getting this type of professional help as you look into purchase options for your business.