Whether the economy is strong or weak, the reasons for buying or selling a privately held business remain constant. At some point, the business reaches a stage where the question of selling or buying a new company comes up. Perhaps the owner wants to retire and his children are not interested in running the business. Or, there may be a family dispute over the business, which can be resolved by selling it. Perhaps the future of the company is beyond the owner’s ability to grow it, and needs fresh perspectives or a different set of skills. Maybe the future doesn’t look bright for the business – or would greatly improve if it were possible to get into a new market quickly and cost effectively through an acquisition. Perhaps the best growth strategy is to add the products and services of the other company to your own organization’s mix.
Even in a depressed economy, privately held businesses may hold value for some prospective buyers.
Top 5 Reasons Why Now is a Good Time to Buy or Sell
There are always entrepreneurs looking for deals. It may be cheaper to acquire an existing business and build it up, than to start one from scratch
A buyer may already own a similar business, and by combining the two, increase revenues while maintaining or lowering operating costs.
Neither Glenoe Associates nor its principal is a licensed securities broker. Neither Glenoe nor its principal effect transactions in securities, and nothing on this website should be construed as an offer to sell or purchase securities. All reference to sales and purchases of businesses, and mergers and acquisitions, are limited to sales or purchases of assets and not of stock. Glenoe and its principal will not structure, advise on or value stock transactions.
Trusted Advisor Ensures Success
As in all aspects of business, having the expert advice of a trusted advisor is a way of ensuring that all options have been considered, and the best one chosen. The advisor can guide you through the selling process, help you evaluate the worth of your business and its assets, and may be able to help match you up with potential buyers. If you think clearly, keep a cool head, set reasonable expectations, and seek the counsel of trusted experts in the area of business acquisition, you can realize a healthy return by selling or buying a business, even in a tough economy.
Key Areas in Sale or Acquisition
Evaluating strengths and weaknesses of the business and helping to determine worth
Developing a game plan for the sale or purchase of a business
Contacting prospective buyers or sellers within your industry
Working with brokers or investment bankers to help identify targets
Assisting with sale or purchase negotiations with investment bank
Providing business advice relative to the sale or purchase