Do your really want to sell your company?
When deciding whether or not to sell a company you must answer: What is best for you and your family… your value of owning and operating the business, or its cash value? Take the time to consider your options carefully. This may be one of the most important decisions of your life.
Only you can determine the value your business has to you and your family. It is important to think about the many rewards of owning a company and being in charge, the sense of pride in accomplishment, the financial benefit, the quality of life your business affords, etc. On the other hand, consider your daily workload and responsibilities, your obligations to the business, financial risks, stress of it all, etc. How does your value compare to the cash value?
Only negotiations between a buyer and seller can determine an exact cash value for a business. However, there are significant costs involved in preparing, listing, marketing, showing, negotiating, and contracting for the sale of a business. Why waste the time and resources working through this selling process and risk customers or employees finding out, if it’s not going to produce the cash you need or want?
Your opinion, your accountant’s opinion, even a broker’s opinion of value are prejudiced by interests in the transaction. So, the most reliable method of predicting a cash value is to have a Fair Market Value (FMV) appraisal performed by an independent, accredited, nationally known and respected business valuation company. Gulf Coast Financial is one such company. We can help you employ their services to let you know an expected cash value quickly, economically and confidentially.
Practically, no one buys a home or building without an appraisal and the negotiated selling price is usually very close to the appraised value. Buyers will only pay a fair price for any business, so the negotiated selling price for your business will be very close to its appraised FMV. Before committing to the arduous process of selling your company, you should be sure that you and your family would be better off with the FMV in cash than with the business.
Once you’ve made an informed decision to sell your business, the Colorado Business Exchange will get the job done efficiently.