­­M&A Advisors in Penticton, BC

The first step in preparing to sell a business in Penticton, BC is developing an exit strategy. An exit strategy details how a business owner will exit business and transition ownership to a new owner. Create an exit strategy with a detailed timeline, and that answers questions like, "How long will I stay on as an advisor after the sale of the business?"; "How will I effectively transition ownership to a new party?"; and "How much do I need to make off the sale of the business in order to live comfortably?"

Next, consider who will buy your company. Do you plan to keep the business in the family, or will you sell to an existing employee? Is there a competitor in the area that might like to acquire the business? Consider all of your options and think about what type of acquisition would be best for the future of the business and its employees.

Because a business is always worth a lot more to an owner than it is to an outside party, it's best to get a valuation of the company done by a third-party. Valuation services know how to best calculate the value for a business, and with an unbiased valuation of your company, you can more easily select and defend an asking price.

Marketing a business for sale in Penticton, BC while maintaining confidentiality can be complicated. Many business owners find that it's easiest, not to mention less stressful, to hire an M&A advisor. M&A advisors have access to a large pool of interested buyers, and can easily market your listing and arrange confidential meetings between buyers and sellers.

To learn more about preparing your business for sale in Penticton, BC and successfully closing a deal, contact Pacific Mergers and Acquistions Inc. Our team of experienced advisors have years of experiencing helping business owners sell their Penticton-based businesses.

First, consider the asking price and whether or not it seems reasonable. If the owner had a third-party firm value the business, the asking price is likely within reason. However, if the owner valued the business on their own, be sure to ask more questions and explore whether or not the asking price is comparable to similar businesses in the British Columbia area.

Next, ask if things like real estate, inventory, and equipment are included in the sale. Every deal is structured differently, so don't assume that all business assets are included in the sale.

Common reasons for selling a business include retirement, relocation, new opportunities, burnout, illness, and lifestyle changes. If the owner mentions that they are selling due to poor performance, declining revenues, industry changes, or legal reasons, this may be cause for concern. Work with an advisor or attorney to conduct thorough due diligence to ensure you're making a wise investment.

Do some research to determine how this company compares to similar companies in Penticton, Vancouver, Kelowna, Surrey, and the surrounding cities. Consider things like brand awareness, online performance, customer perception, location, and offerings. If this business doesn't stack up to similar businesses in the area, think about what it would realistically take to compete.