Selling your business can get personal. After all, you put your blood sweat, and tears to get it where it is today! But, for whatever reason you want to sell it, it’s important to keep your business head on until you make that final sale and move on. “Selling your business can get personal, especially If the business sells a service such as a painting cost estimate“
Having a “selling your business checklist” to hand can make the process a lot more straightforward. It can stop you from wandering off the path and getting caught up in more sentimental realms of thought.
In this short guide, we’ll highlight some of the key things you should put on your checklist to sell your business. Get these things right, and it should be smooth sailing to the finish line.
Keep reading to learn more.
Assemble the Right Team
The people who have been running your business might not be the best people to sell a business. Sometimes it’s better to employ an advisory team for a short contract period up until the business is sold.
You should be looking at getting an accountant, attorney, and business broker from outside to help you with the process. You will need a business broker to sell your company unless it’s to an employee or family member. You should also want to contact a valuation specialist so you market the company correctly.
Make It Clear Why You Are Selling
Before anyone goes ahead with selling a business, they should double-check their motivations. Ask yourself again: why am I selling my business?
It could be for retirement right through to wanting to start something new. Whatever your reasons, write them down in a clear and concise statement. This will help you realize if you are doing the right thing or not.
Get Your Paperwork in Order
You will need to review all your agreements, contracts, and licenses to pass on to the next owner. It may be that you have to set up a lease transfer agreement, or multiple ones. Here is an example of one.
Also, check if there are any business termination rules made when you first established the company. If so, you will need to follow them.
Tax Documents Are Crucial
When you’re selling a business, you will need to provide state and federal tax documents for a certain period. You also need to provide profit and loss statements, not your balance sheet.
Furthermore, you need to provide financial statements concerning any credit agreements you are still part of. In simple terms, you need to let them know if you are committed to paying them off, or if you will pay them off in the sale.
Selling Your Business Checklist Tips
You now should have a rough idea of some of the things you need to consider when developing a “selling your business checklist.”
Make sure you have the right team behind you and make it clear why you are selling. Also, get all your paperwork and tax documents in order.
For more business tips, browse through our blog.
