Not every business owner wants to keep their business long term, as they may want to create a successful empire, sell it and retire. If you find yourself in this boat and want to know the right time to sell your business, then here are some key signs.
You’re Stepping Away
Far from the chaotic early days of the business, you now have some breathing space. You’re not required to be there every hour of every day, so you’re stepping away slightly. You’ve had a chance to enjoy a bit more free time and the business appears to be thriving in your absence.
This is a good time to consider selling if you no longer want to deal with the other operations that require your presence. Accounts and other elements may require your attention regularly, but if the day to day processes are running well then you’re in a good position to sell the company.
This can be pretty volatile, as one member of staff leaving can turn the organisation on its head. Getting or promoting the right member of staff can ensure a good level of sustainability. You don’t want to have to deal with everything in your business, so if you’ve not learned to delegate yet then you need to.
Growth is Tapering Off
Building the business up can be tricky and it will naturally reach a level at which it tapers back off. This may be because the market is saturated or there’s no more demand for the service. You’ve reached a good level of profit, with some upward mobility still occurring so it’s not totally stagnant.
This can be a good time to buy or sell a business as a big shake up can potentially change the trajectory of the business. This can accelerate the growth and potentially change things up for the company. Moving forward, this can be a turning point for the company.
By selling while the business is still thriving, you can get a higher price. After this period the business can go into decline, so selling while the going is good can be helpful.
You’ve Got Room to Grow
Creating unique selling points for your business can also tempt buyers. This can show them that your business has room to add new products or services should they be required. Your business may have peaked with its current products or services, but the opportunity to add more can stimulate growth again.
You can come up with some ideas for new services and conduct market research into them. Talking with current clients can show you if they would be interested in such an idea and what they would expect to pay for it. You can then relay this information to a potential buyer to show them where these opportunities exist.
Working to sell your business can be difficult at times, but it can allow you to take that step back once all the hard work is done. Then you can just enjoy the profit.