The Biz Blog - Business Sales Process
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Business Sales Process
Seven factors that will affect the sale of your business
April 05, 2010 by Stuart Gross
When you are selling your business you should know that the average business takes 6 to 9 months to sell. There are several factors that affect the salability of your business. Revenue and profitability A major factor affecting the salability and price of a business is its revenue and profitability (P&L). There is little you can do to change those facts but the presentation and explanation of unusual activity is important to instill confidence in a buyer. The P&L usually has the most direct effect on sales price. Potential and Scalability Most buyers want to buy a business that they can grow and make better. It is good to know what could be done to grow the business in new ways. For example you may not have an effective website or the business could be open more hours, or it is reasonably easy to expand to larger facilities or additional locations. Be prepared to provide some growth strategy for the potential buyer.
