In every business owner’s life, the time will come when they have to start considering their exit strategy.
Value of the Business
When it comes to working out the value of your business there are a number of methods you can use. These include: market place valuation, return on investment method (ROI), using the value of the business assets, the cost of starting such a business from scratch, or the estimate of future profits. Your accountant and business broker can help you work out the best method to use to obtain the value of your business.
The marketing strategy is important. Making sure the right audience are targeted is vital to a successful sale. Engaging a professional business broker will mean you can take advantage of both their online reach as well as existing networks.
Negotiation is another reason why using a good business broker is advantageous. A business broker has solid experience in negotiation and is committed to achieving the best outcome for you.
Your accountant will be a valuable ally when it comes to selling a business. They will usually be involved prior to the sale with getting the financial and goodwill information in order to present to any prospective purchasers. They will also be able to help with any tax obligations that may arise after the sale. Things such as Capital Gains and Goods and Services Tax obligations, as well as finalising returns, winding up companies, ABNs etc. are things you will most likely need to consider.
You will need to engage a solicitor in the sale of your business. They will be able to prepare the contracts for you and help with any legal issues arising from the sale and transfer of ownership.
For more information about how we can help you with the sale of your business contact us.