I have a business for sale, what's the best way to advertise it?
“Listing your business for sale online should be a key part of your exit strategy,” says Richard O'Brien director of Business for Sale website nzbizbuysell.co.nz
“It’s not always possible, but it’s a good idea to start thinking about the sale of your business long before the day arrives. Poorly prepared and priced businesses are harder to sell and in some cases won’t sell at all. It also pays to make sure you are ready to sell and for the transition. We’ve had businesses listed that are subsequently withdrawn due to the vendor having a change of heart; concerned they won’t be mixing with their peers, won’t have anything to do, or cannot afford their lifestyle once they have sold”.
Being Business-Sale-Ready well before you go to market will ensure you are in your best position to sell and maximize the value of your business.
The more you prepared you are, the more successful the outcome is likely to be:
Ensure your business is attractive to buyers. Does it have a good history of profitability, a large and loyal customer base, a competitive advantage (long-term contracts, intellectual property rights, exclusive distributorships)? Does it have a skilled work force, a desirable location and opportunities for future growth?
Are You Ready to Sell? Are you are ready to part with your business, both financially and emotionally? Consider what will you do with your time, for income and for personal contacts once you have sold and moved on. Many business owners suffer a loss of purpose after handing over their business to the new owner.
Decide if you will use a Business Broker. It’s a good idea to visit several reputable Business Brokers to find your best match. Select a broker who understands the market and your industry, and knows how to reach the potential buyers of your business. Ask about their database, how much and where will they allocate their marketing budget for your business, and which internet sites they will use. As with any professional, check out their history and reputation. It is also good idea to ask the broker about recent sales and for the names of some clients you can contact.
Target your Advertising. Two or three misplaced ads in poorly targeted or low traffic mediums won’t cut it. Invest well, as you want to attract genuine quality buyers. Businesses can take time to sell - influencing factors include price, type, ease of finance, market conditions and your marketing efforts. It pays to promote your opportunity wisely and widely.
Listing on websites; whether you sell privately or use a Business Broker, there are a number of websites that list businesses for sale; this is the new form of classifieds that connects business buyers with sellers. These websites act as a marketplace where potential buyers can search, review, watch and contact sellers or Brokers if they are interested in buying a business. Some offer just a few listings, others a huge range of opportunities, along with directories and resources to assist and educate business buyers and sellers with the process.
As a Seller it pays to list with a website that:
* Attracts genuine Buyers not just Browsers.
* Is well established and well recognized.
* Offers value and exposure to a wide and interested audience.
* Specialises in just business listings and attracts quality traffic.
* Is easy to use and has comprehensive tools and information to help.
Selling your business is one of the most important things you'll do – this is your chance to capitalize on possibly years of effort. With some careful planning and a little help from professionals, you will be well on the way towards striking a deal that's right for you.
For more information on how to sell a business and choosing a Business Broker check out www.nzbizbuysell.co.nz