How to Determine A Realistic Price When Selling a Business
Selling a business can be a challenging undertaking. For most people, they have not been through the business sales process before and are surprised to learn how different it is when compared to a typical real estate transaction. The entire process of selling a business is usually much more involved and can be much more complicated. For instance, finding an appropriate business buyer, qualifying leads, maintaining business confidentiality, tax issues, asset sale versus share sale, due diligence, VTB financing, transitions, employee issues, liabilities, working capital ... and so on. However, besides all of these issues probably the most confusing issue for many owners when selling a business is determining an appropriate selling price. For most people, determining a selling price (or business valuation) is a mystery. Despite…