Things to Consider When Selling Your Small Business

Ensuring Corporate Documents' Enforceability - What to Know

15/01/2024

Are you planning on selling your small business soon? It may be hard to sell it quickly if you have no experience in this field. There are many things to consider when doing so, as you’ll want to get fair compensation for what you’ll be trading away.

This article will run you through some tips you should consider when preparing to sell your small business.

Making Your Business “Sale Ready”

You might not have given much thought to what your business would look like if it were sold. The fact is, an investor may not have much interest in purchasing your business if it does not also have the potential for growth.

You must take a step back and look at your business from an outsider’s point of view. Consider the aspects of your business that may be attractive to a potential buyer. This can include your accounting, taxes, leases, employment agreements, etc., all sorted out and ready for someone else to take over.

You will have to prepare your documents before looking for potential buyers. This can help speed up the process and make your business more attractive from the get-go.

Setting a Fresh Brand

If your company is more than a couple of years old, it may be time to go with a fresh new look. The branding of your business can play a significant role in its attractiveness to investors. 

You may want to consider updating your business’s social media accounts, website, and brand as a whole. You can even include any awards, media, charity involvement, etc., on your website to show your values as a company.

Having a strong and updated brand can help your investors maximise their investment.

Having Updated Technology

Technology is of utmost importance when running a business, especially a small one. Your business must be up to date with all of its technology to give your potential investors confidence in your business’s ability to grow.

If you are still using that 1999 laptop to make business transactions, you may want to consider updating your technology. New technology can be attractive to future buyers. It can also give your business the capabilities to grow even further.

Hiring Professionals That Can Help You Sell Your Business

Selling your business can be a complicated process, especially for those new to this kind of transaction. If you are thinking of selling your business, professionals such as corporate lawyers can help you in each particular area of your business. Some professionals to hire include the following:

Lawyers for Legal Contracts and Letters

An experienced lawyer in business sales can help you prepare letters of intent, non-disclosure deeds, and business sale contracts. They can also help pinpoint any issues with your business structure.

Lawyers can help you negotiate and create amendments to your contract during the sale process. Overall, they can provide you with practical legal advice related to commercial law.

Accountants to Sort Out Your Financials

When it comes to selling your business, you will need to ensure your finances are in order. Your accountant will be able to help you sort out all of your financials, including your profit and loss, accounts receivable, and personal income tax.

An accountant who is experienced in business sales can prepare your financial statements. They can also assess your debt position to ensure that your debts are paid off after selling your business.

Conclusion

You will have to consider many aspects when it comes to selling your small business. If you are thinking of selling your business soon, you should take some time to prepare your business for sale. The above tips can help you make your business more sale ready, which will make the entire process easier. You will be able to attract potential buyers and sell your business quickly.

Are you looking for commercial contract lawyers in Brisbane? GLG Legal offers real-world solutions for your commercial and property needs. Contact us by calling (07) 3161 9555 to learn more!

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