tips: prior to annoucing the sale
Keep It Confidential
The decision to sell your business should be kept among yourself and other select individuals for the following reasons:
Avoid Upsetting Your Employees
Any rumors of a sale can be unsettling for any staff. Your employees want job security. Rumors of a pending sale may prompt employees to seek other employment.
Some tips:
- meet with your staff frequently to update them on business plans
- speak privately with key individuals about your plans and assure them of continued success
- consider some pay raises, promotions, company picnics, etc., to maintain morale.
Keep the Competition at Bay
Once your competitor finds out that you are for sale, they might undertake some moves that can undermine your customers, suppliers, and creditors.
Rumors that "you will no longer be in the business" could damage the goodwill that you have developed over the years.
Some tips:
- touch base with your key customers — assure them of your continued service and business
- keep up good relationships with your suppliers and creditors
- pay your accounts on time
Move Quickly
Once you make the decision to sell, jump into it quickly. The longer it takes to sell, the higher chance your employees, competitors, creditors, etc., may undermine your continued operations.
Some tips:
- Have your financials ready for review
- Scrutinize and validate every potential buyer prior to showing them your sales sheet
- Make yourself available as needed
- Seek professional assistance from an advisor who can prepare the necessary documentation and keep things confidential and moving
Business Selling Prep
