I Want To Sell Quickly

Selling your business quickly, typically marketing in around six months, requires careful planning and execution to ensure a successful and efficient transaction. The Junction Twenty programme has six month option that focusses on the top priorities to maximise your exit and ensure that you're prepared for your next journey.

Here are some top considerations to keep in mind if preparing to sell.  Our team will guide you through each step.

Valuation: Determine the fair market value of your business. It's important to have a realistic and competitive asking price to attract potential buyers quickly.  We'll also cover the "desirability" module of our programme in greater detail. 

Preparation: Get your financials, legal documents, and operational details in order. A well-organised business with accurate records is more attractive to buyers and can expedite the due diligence process.

Confidentiality: Maintain confidentiality throughout the process to avoid unsettling your employees, customers, and competitors. A leak of the sale could negatively impact the business's value.  Getting Non Disclosure Agreements (NDA's) prepared beforehand is essential.

Using a Business Sales Broker:   For selling quickly it's almost certain that you'll require the services of a business broker.  We work closely with a reputable partner and can make that introduction early.

Qualified Buyers: Focus on finding serious and qualified buyers who have the financial capability and genuine interest in purchasing your business quickly.  This is more likely to be direct competitors or competitors or alliance partners looking to gain a foothold in your industry or territory.  We call this the "X-List" and this should be created as quickly as possible.

Marketing Strategy: Develop a compelling marketing strategy to showcase your business's strengths, growth potential, and your differentiator - what makes your business stand out from your competitors.  You MUST motivate and excite potential buyers. Consider leveraging online platforms, industry networks, and business brokers.  Buying a business is an emotional purchase, provide compelling reasons why your business is an excellent investment.

Negotiation: Be prepared to negotiate with potential buyers. Be open to compromise while also ensuring that your bottom line is met.  Prior to this we advise you to set your "lowest acceptable figure" so that the emotion of selling your business does not compromise your decision making process.

Due Diligence: Be transparent and provide necessary documentation for due diligence. This can help build trust and expedite the process.  Junction Twenty has a separate module and checklist for the Due Diligence process.

Deal Structure: Consider various deal structures, such as asset sales or stock sales, and their tax implications. The right structure can impact the speed of the transaction.

Legal and Financial Advisors: Enlist the help of experienced professionals, such as solicitors and accountants, to guide you through legal and financial aspects of the sale.  Your accountant will almost certainly be required during the Due Diligence process.

Timing: Choose an appropriate time to sell when your business is performing well and the market conditions are favourable. External factors like economic trends and industry dynamics can impact the timing of the sale.  Seeking a quick sale may prevent this, however, there are a number of timing considerations that are essential to consider.  Our team will guide you with these.

Contingency Planning: Prepare for unexpected obstacles that might arise during the sale process. Having contingency plans in place can help you navigate potential challenges without causing unnecessary frustration and anxiety.  Our team guide you to prepare for THREE scenarios when planning an exit.  These are; i) Slight Delay (few weeks) - how does this impact your plans moving forward?  ii) Moderate Delay (4-8 weeks), how does this impact your future plans, especially if this was a forced sale?  iii) Significant Delay (3 months +), how could this impact your lifestyle choices and is the deal at risk of not proceeding?

Transition Plan: Develop a clear plan for transitioning the business to the new owner, including training, support, and any necessary handover of responsibilities. A smooth transition can build buyer confidence and help facilitate a quicker sale.  Our team will guide you here as it's important to manage the expectations of both buyer and seller early on and agree a "Handover Time Line" that suits both parties.

Documentation: Ensure that all legal contracts, agreements, and transfer of ownership documents are accurately prepared and ready for signature. This can prevent delays in finalising the deal.  We always suggest setting up a "Data Room" for all Due Diligence Documentation, that ensures documents are uploaded securely with no delays.

Communication: Maintain open and transparent communication with potential buyers. Address their questions and concerns promptly to keep the process moving smoothly.  Ensure regular progress meetings are held to avoid the "we're waiting on them" scenarios.  The Junction Twenty team can assist here and provide an additional service for communication if needed.  This provides a "third party objective view" which can be very beneficial.

Flexibility: Be willing to adapt and adjust your approach as the sale progresses. Flexibility can help overcome potential roadblocks and facilitate a quicker sale.  Selling a business is a highly emotional process, however such high emotions can quickly lead to frustration and a break down in co-operation between the two parties.

Remember that while selling a business quickly may be your top priority, it's essential to balance speed with making informed decisions that align with your goals and maximise the value of the transaction.  You may want to be selling quickly, does the buyer want to buy quickly?  This is where agreeing the "Ideal Timeline" from the outset is essential. 

As you'll find as you progress your business sale journey, COMMUNICATION is the number one key factor to a smoother transaction... and lower blood pressure.