Selling your business? At Crescent Franchise Solutions, we help a variety of business owners get their wealth from the business they’ve spent their entire lives building. For many business owners, this wealth is the foundation of their retirement plan, so we often are asked, “When is the right time to sell? Should I do it now? In five years, ten years?”
Our team loves working with business owners in all stages, helping them be prepared for the next step. For this discussion, we’ll imagine the business owner is looking to sell in three years. Three key components need to be in place to consider selling:
You need to have a clean profit and loss statement.
Whoever’s coming in to buy your company is going to pick it apart. If you have boats, a mortgage, or other items running through the P&L that shouldn’t be there, that will be a red flag. Clean up your P&L statements to reflect the actual state of the business.
Are you the rainmaker of the company, or are you the CEO?
If I am buying your firm, I don’t want you being the rainmaker but prefer you to be the CEO, overseeing the company rather than the person driving the revenue. Ideally, you have a person in place underneath you, helping you to focus on the business as the actual CEO. If you don’t have this crucial team member, your next step is to fill this role and spend the next few years shifting your focus to CEO responsibilities.
Your personal finances need to be in order.
At Crescent Franchise Solutions, we believe there is no separating your personal and business finances. It would be best if you had both buttoned up before you considered selling your company. Whether you need to pay off debt or save more, use this time to define and prioritize your income and retirement goals. We can help you establish a realistic and attainable timeline so you can prepare for a successful sale of your business.
Selling Your Business – Let us help you prepare to sell your business.
Give us a call at (941) 923-3663 or schedule a free consultation if you’re interested in discussing selling your business. Whether it’s something you want to do now or in a few years, our highly-skilled team at Crescent Franchise Solutions will work with you to help clarify, establish, and maximize your dreams. Give us a call today!