Six Good Reasons to Sell Your Business NOW
Running your own business may have been a lifelong dream, but there is no denying that running your own business is a lot of hard work. Frankly, the charm may have worn off for your business, your business may have appreciated in value and it is time to lock in the profits, or you may have an idea for a new start-up business. Here are six good reasons why NOW may be the time cash out now by selling your business and moving on to a new, exciting venture.
1. Go Out on Top and Get Top Dollar
You spent years carving out your market share. Your competitors are vanquished. You have created a business model that succeeds and is the envy of your industry peers. Going out on top means you can command top dollar for your business. Now is the time to cash out.
2. Suitors are Plentiful
Not only can you go out on top and get top dollar, but you are being courted. Suitors and potential buyers are numerous. Larger companies want to expand their market share and gain access to your successful business plans and methods. Others want to break into the business. Most importantly, plentiful buyers drive up the fair market value; now is the time to cash out.
3. New Priorities Need the Cash
You may have new priorities in your life. Your children may be getting to that age when college tuition is needed. You and your family may be looking to new horizons and maybe it is time to move. These are perfect reasons to sell your business, invest in something new, and use some of the cash for the new priorities in your life.
4. You Need New Challenges: You Love the Chase
At the beginning, it was exciting. Now it is drudgery! As you look back, what you loved was the challenge. You want that back; you want the new adventures; you want the chase again. If this is how you feel, it is time to sell your business and start a new one.
5. The Business is too Big Now
Sometimes it is the size of a business that entrepreneurs cherish. Just the right number of colleagues, just the right number of employees; just the right number of customers. Sometimes a business grows bigger than that perfect size. If that has happened to you, it is time to find a new business. Let someone else grow your business and deal with all those growing pains.
6. Getting Out Before it is too Late
Among the less-positive reasons for selling your business is the idea of getting out before it is too late. Occasionally, an open-eyed non-sentimental assessment of the economic landscape and the technology trends clearly shows that an industry or concept is on the decline. One of the most famous examples is owning a video rental business. There came a point when it was clear that online streaming and via-mail delivery options were going to put an end to the brick and mortar video rental store. When those economic trends became clear, that was the time to sell versus riding the business into obsolescence. A similar point has been reached for print newspapers and countless other business types made all but obsolete by new technologies and business models. The key is to be able to see the trends and move your assets and business-running energy into a new, vibrant industry.
Contact San Diego Corporate Law
Selling a business can be a complex endeavor. There are purchase and sale contracts to draft and review. There are due diligence, notice, and regulatory requirements. It is an exciting new challenge, but you are going to need the help of an experienced corporate attorney like Michael J. Leonard, Esq., of San Diego Corporate Law. Contact Mr. Leonard by email or by calling (858) 483-9200.