Give yourself a chance to take advantage of the current market trend.
As a restoration contractor you’ll likely sell only once in your lifetime. Don’t eliminate a best possible outcome by not knowing what to expect or how to plan.
I’m not talking about hiring a broker to confidentially market your business FOR sale, only being READY for a sale.
Timing May Be Everything
With the current rate of consolidation in the restoration industry, many owners would sell if the right offer came along. If you’re like most, you think about selling.
Scads of questions come to mind, most without answers. You keep thinking and years go by.
Out of the blue the phone rings and somebody is interested in buying your business. It’s flattering. Then my phone rings asking, “What do I do now?”
Currently you may be in need of answers: what’s your company worth and why, potential deal structures, tax liabilities, how to protect key employees, and dozens more.
After a potential buyer asks for tax returns and financial statements, some owners will cautiously send, then cross their fingers and hope for the best.
This can be a dark and scary place. Absolutely no way to begin the sale of your life’s work.
This is decades of your blood, sweat and tears, you need answers! It takes very little to receive them. Many owners truly make this a mountain, when it’s actually a molehill. Because it’s not understood does not make it complicated. Answers provide options and an action plan.
Being Ready for a Sale
Currently many contractors are receiving calls from potential buyers. You can simply wing-it or be ready. Being ready for a sale looks like this:
- Receive answer to 8-10 key questions.
- Determine if you’re able to retire (and want to) for the right offer.
- Assemble a basic packet of information on your business (NDA, SFS, Exec. Summary & a simple Market Offering). These are less complex than they seem.
- Be prepared to share when ‘the call’ arrives.
Benefits of Being Prepared
1.) You’ll be well past ‘fingers crossed and hoping for the best’.
2.) With answers you make decisions (and a plan) with confidence.
3.) You’re in control. This is your bus to drive, you’ve been at the wheel for decades.
Don’t relinquish control when it matters most.
4.) You are telling your ‘business story’, not leaving it up to interpretation.
5.) Even though just thinking of selling, you’re giving yourself a chance to take advantage of the current market trend of consolidation.
Any advisor will gladly help when their phone rings and they hear, “What do I do now?” Give yourself the gift of answers and peace of mind by asking a few questions.
When opportunity knocks, you’ll then recognize it.