How to sell your Business without trying too hard… Not really….
By Lin Giralt In my previous article “How to succeed in Business without really trying…Inherit? Not really….” I mentioned reasons that second generation owners decide to stay in the business. That being said, I also mentioned reasons why it is sometimes better to exit: * You inherited the business, but it is not really what you want to do * You –alone or with a partner(s)- started the business, but believe it is time to move on. This can be a function of many things: * your age * differences with your partners or direction of the business * a desire to retire or cash out at a ‘good’ price * a hankering to renew, explore new business interests, to try something new, move to a new city or * the realization that the majority of your net worth is tied up in one asset or company
Whatever your reason for wishing to exit your business, and we are not judging their validity, we assume they are valid for you, we would like to share a few ideas which could prove helpful in improving results prior to selling a business and increasing sales value. They will require effort, but not too much. We like to make you try hard, but not too hard.
We shall organize them in three groups: 1) Increase revenues, 2) Decrease costs, 3) Reduce risks.
Increase Revenues
This, like most things in life, is easier said than done, but there are some basic improvements you could make if you have not done so already.
Segment and understand your clients: Try to understand them as much as possible, needs and price points. This will help you optimize your pricing structure and improve your marketing effectiveness. Being close to your clients is the key responsibility of the owner or CEO. One recommendation that has proven effective in the past, if you are a B2B firm, is to send out