If you have considered selling your business, it really is time to take action. Selling more businesses than anyone in New Zealand, we are uniquely positioned to speak with authority when it comes to the current state of the market. I would urge you not to make a major decision like selling your business on the back of rumour or assumption, but rather on the hard facts in front of you. Never in my 20 plus years leading a business broking company have I seen a market so in favour of the seller. Quality buyers are so plentiful, we recently cancelled our “Buy a Business” seminars which were booked out, because we simply don’t have the time or need to conduct them. We have also suspended much of our “Buy a Job” marketing campaign for the same reason… Again, we don’t have enough businesses to satisfy the demand. Our clear pinch point is finding businesses to sell.
One thing that is in great supply for all of us is a giant pile of readymade excuses not to take action when it comes to selling a business. No matter what you do we are given reasons not to act, and right now, this is being delivered in spades. We talk to hundreds of business owners every week and often hear the same thing, “It’s not a good time for me to sell right now”, and the rationale is often our looming election, Covid-19, Xmas, auspicious dates or perhaps a dodgy astronomy column! If we put our lives on hold for things out of our control we lose the ability to make good decisions when they matter. The truth is we have elections every 3 years and it makes very little difference to whether a business would sell or not, regardless of which way the result goes. Covid-19 is part of the world now and we have very effective ways of managing this in sale process with very little impact on value in most cases. Don’t miss this current window to sell, as none of us knows what tomorrow holds, but I can tell you what is happening today, and it’s very positive for business owners looking to exit.
For the potential business buyers out there, we have a little advice for you too. It’s very hard for business brokers to ascertain who is serious and prepared, and with a huge number of buyers to work with, it’s important you are clear about your intentions. What will make a broker really sit up and notice you? Let them know you have spoken to your bank or other financier and are confident you can fund the acquisition, be clear what price range you are buying in, and that you are ready to move quickly if you find the right business. No business is perfect and your willingness to make some compromises will put you in good stead also.
Like everything in life, the opportunities are there for everyone, but only those who act will benefit.
Aaron Toresen – LINK Enterprise
Find out more about Selling Your Business, reach out to a Business Broker.
