Any thriving economy needs a broad range of viable and sustainable businesses across a wide range of industries - I believe it is more difficult to start, grow and sustain a profitable business than it is to buy an existing one.
It has been a tough 18-24 months to be in business and to a large extent, the playing fields have changed - buyers of businesses are more critical, take longer to make decisions, battle to raising funding and are of course still fairly uncertain about the future of the local and international economy. I have focused on this aspect before but really believe that sellers of businesses, now more than ever before, need to think like the potential buyers of their businesses.
This entails 'putting your best foot forward' and presenting the best possible picture of your business - this will take some time and may require attention to various aspects of the business. There are of course many factors that buyers consider when assessing a particular business and in some cases, will vary from sector to sector - at the end of the day though, the numbers have to make sense and will be the most important factor in determining a price for the business.
For a great deal of business owners, selling their business may be a 'once off' experience - having spent many years building the business and increasing it's value, it is vital that they plan well ahead to ensure they realise an optimal price.
To do this, one needs to think like a buyer
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Business buyers nowadays are more meticulous when it comes to assessing the company that they want to buy. Buyers now analyze how their choices will work for their benefit by looking at as financial statements, assets, and even the quality of employees. Because of this, sellers are working harder to convince their buyers that their business will go a long way in helping the buyers further their financial pursuits.
ReplyDeleteMatthew Engquist
Business purchasers these days are more particular in the matter of evaluating the association that they need to purchase. Purchasers now dissect how their decisions will work for their profit by taking a gander at as budgetary explanations, holdings, and even the nature of representatives small business funding australia .
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