Obviously, a great number of factors play into this decision; that’s not so surprising. But, what is surprising is the number of issues unrelated to the actual operation of the business that can come into play when assessing whether to sell or not.
For example, some of the most obvious reasons relate to relationships within the ownership structure. In some circumstances, there may be disputes between partners as to the best manner in which to operate the company. Or, simply different perspectives relative to what is expected from the business as it relates to each of the owner’s lifestyle. Perhaps one owner is satisfied with the current level of profits the business generates while the other owner has need of greater profits and wishes to extend the One of the most difficult decisions you will ever have to make is deciding when to sell your company. energy and resources necessary to create a more profitable venture. Other examples may be related to health issues or family matters. Regardless the cause, such issues are not indicative of the business’s viability or success, simply matters of daily living.
For the moment, let’s assume that no such issues are driving the decision process. In that case, you need to ask the following questions:
|1.||What is the driving impetus behind my desire to consider a sale of the company?|
|2.||What value does my company carry?|
|3.||If I realized that value, would it meet my needs moving forward?|
|4.||What additional benefits can I realize by retaining the business for an additional period of time?|
|5.||What is the cost to me for such benefits from a personal standpoint?|
Do I have other alternatives to selling the business that I am comfortable employing? Such as turning the day-to-day management over to a family member or trusted employee.
Once these issues have been addressed and you still wish to consider a sale, you can move forward with the confidence you have thought through the process and made a reasoned determination that a sale of your company is the best answer.