Whether entering a new chapter in life or preparing to start a new venture, selling your business could be a wise and significant move. However, it could be a considerable undertaking that might turn sour if you do not know what you are doing.
You could hire advisors to help you organize paperwork and facilitate transactions beyond your expertise. Before selling your business, preliminary work could include various tasks that could affect how much you could receive from the purchase. It is vital to organize the business’ financials, including critical metrics and projections, during this stage. It is also crucial to address any comingling between business and personal assets.
Understandably, these procedures could touch on legal and financial concerns within your business and personal affairs. The deal could also affect your estate, necessitating additional advice from an estate planner. The size of your advisory team could vary but should typically contain the following professionals:
- Business broker or investment banker
- Valuation specialist
- Accountant or tax advisor
- Mergers and acquisitions attorney
- Financial advisor
- Estate planning attorney
They could help you determine options when dealing with deal structures, cash flow planning, tax matters and other aspects of the sale.
Establishing your business’ worth before selling it
Getting details in order is essential to determining the value of your business. Your business could seem priceless, but it requires an accurate market value or estimation to help you find potential buyers. This undertaking could be impossible to do alone.
Fortunately, your team could provide valuable information, guidance and advice to help you proceed. Finding the right people for your team could also help you consider new possibilities or ideas.
