You’ve spent years building your small business, and now you’re ready to move on. That’s great. However, just like bringing your business to life, selling it will require a lot of planning and preparation. You can’t simply put a ‘for sale’ sign in the front window and expect buyers to come knocking.
Selling a business is more complicated than most people think. In fact, it’s leaps and bounds more complex than selling a house. So, if you’re thinking about selling your small business on your own, you may want to reconsider.
In this blog, we’ll look at what makes selling your business so challenging, and why you shouldn’t do it without the help of a professional.
Can You Sell Your Business On Your Own?
Legally speaking, you can try to sell your small business on your own (aka “by owner”). But should you? No – and that’s putting it lightly.
No matter your motivations for selling, it’s never a good idea to attempt it on your own. Every business has value, even if it’s not actively earning a profit. Not only could you be leaving some serious money on the table, but even small errors during the closing process can create substantial legal issues. Any way you look at it, it’s simply not worth the risk.
So who can help you make the most of your business sale? A business broker. More on that next.
What makes selling a business in Ontario so complicated? Explore these related blogs to learn more.
- How to Sell a Business Quickly
- Selling Your Restaurant – What Happens After the Deal Closes?
- Considerations For Selling Your Boutique Hotel or Motel
What is a Business Broker?
If you’re selling your small business, there’s only one expert for the job: a business broker.
Brokers are similar to commercial real estate agents, only they do much more. Yes, they can help you buy or sell a piece of property, but they also specialize in the nuances of selling an active, earning business. They know how the selling process works and how to get complex deals done as efficiently as possible.
How a Business Broker Makes Your Sale Better
Business brokers wear a lot of hats. From the very first stages of your sale all the way until closing, it’s their job to help you make the most of it.
They’re Your Professional Guide
Selling your business by owner can be a confusing and daunting process. A business broker can solve this by guiding you through the selling process from start to finish, ensuring you feel informed and confident. Whenever you have questions, your broker is there to help.
They Know What Your Business is Worth
One of the hardest parts of selling a business is pricing. Not only will you need to approximate how much your business could be worth in the current market, but you’ll also need to select an asking price that amplifies buyer interest without sacrificing your returns.
This is where a broker’s expertise comes in. They know which factors impact value the most and can help you craft a refined pricing strategy to maximize your chances of success.
They Can Amplify Your Returns
On top of finding out what your business is worth, a broker can also help you add value before you hit the market. They know which improvements and upgrades come with the best ROI and can make selective recommendations to help you sell for the best price.
They Know How to Reach Buyers
You don’t just want to find a buyer for your small business. You want to find the right buyer. To do that, you’ll need to advertise and market it to a wide audience of qualified entrepreneurs.
Business brokers know where buyers are – and how to reach them. Not only will a broker advertise your business across the appropriate outlets and platforms, but most professionals also leverage their own private databases with thousands of qualified buyers.
Want to know more about working with a business broker? Explore these related readings from our blog!
- Working With a Business Broker: The Basics
- Why You Should Sell Your Restaurant With a Business Broker
- What’s the Difference Between Residential and Commercial Real Estate Transactions?
Expert Support For Your Small Business Sale
If you’re planning on selling your business in Ontario, the best thing you can do to maximize your results is to partner with a professional business broker or commercial real estate agent. That’s where we come in, Carve Real Estate.
Beyond our team’s industry-sprawling expertise, our specialized selling strategies and direct connections to industry players can expose your business to a more relevant and qualified pool of potential buyers, contributing to a smooth and successful sale.
Ready to sell your business? Carve Real Estate can help! Reach us at ryan@carverealestate.com or call 416-618-0054.
