Getting a professional appraisal and analysis of your business will ultimately determine price, saleability and potential for a quick sale.
Listing your business “FOR SALE” without accurately determining its real market value and saleability with the help of an experienced professional valuer can mean you are facing a long and arduous journey to a possible sale. Even if you are fortunate enough to have determined near market value, the preparation and execution of the sale process is a very complex and challenging exercise.
Did you know that as of March 31st, 2020 there were 15,074 businesses listed for sale in Australia with listing prices over $50,000.00 (excluding new franchises/ licences). Out of this, only about 20% or one out of five will ever sell, at a price far less than they were listed for, and it could take a really long time. WHY? Because they have been over priced by the owner or some other party who does not fully understand the real market value, saleability and the selling process.
When you are thinking about what sale price you ought to put on your business, the real question is, do you want to list your business or sell your business? And indeed do you feel qualified to make such an important decision on its value? What do you actually know about determining the true market value of your business? Do you know how profitable and successful your business actually is? And do you know how to find out the Return on Investment for potential buyers?
By engaging a professional ‘Certified Business Valuer’ and ‘Certified Practising Business Broker’ , (Sell Your Business Analyst) you will have access to someone who has spent years studying to become a powerhouse of information with regards to determining real market value and all other aspects of preparing a business for sale. A Professional will be a member of key accredited professional organisations, giving them access to crucial data to allow them to compare similar industry business sale information and processes.
Not only that but also working with a Professional Certified Business Valuer you can rest assured that they know all the science and technical information required to carry out an unbiased valuation that can stand up in a court of law in the event of a legal dispute. As a Professional Certified Business Valuer I have seen, time and time again, partnerships or couples ending up in court in a major dispute over the real value of their business due to split or separation. In this and similar situations unqualified valuations can have a drastic effect on their lives and their families future. In the case of a legal dispute or even intended sale of your business you should be assured you have access to the best knowledge and experience available and have engaged the expertise that will allow you to get such an important decision right.
If you choose to set a value yourself it is also imperative that you qualify to get Professional Indemnity Insurance, to cover you should you get it horribly wrong and get sued because your appraisal or the value you determined is challenged after the sale?
Finally it is so essential to realise that you may or may not have a successful saleable business. Getting professional help to determine market value and saleability will pave the way for a successful sale, the alternative is that you waste 2 – 3 years of your time, effort and money, listing at an unrealistic price that potentially could never sell.
Visit us at https://sellyourbusinessanalyst.com.au/