Proper planning can mean thousands of dollars in your pocket
Small business owners make drastic mistakes every day when they sell their small business and lose thousands of dollars in the process. All their hard work and long- term investment falls. These errors can often be easily prevented.
As entrepreneurs, they once dreamed of owning and successfully building their own business – then reap the benefits in the form of successful business sale. Sounds like a great plan! But, making the sale is not as easy as it may appear.
Learn 10 tips to help you avoid business sale pitfalls, disappointment and lost money.
For business owners, selling a business is the most popular exit strategy. In some cases, there are no successors who want to keep the business going; in others, it was always the business owner ‘s plan at some point to convert the business into liquid assets.
Selling an information technology company can be complicated, so you want to take the time to do it the right way. Careful preparation and use of available professional resources are the keys to obtaining a good price when selling your business. This will allow you to realistically view your business so that you can set a fair price for it.
Whatever the reason you want to sell your IT business, following these tips to sell will help you get the best price and make sure it sells.
Learn tips and tricks of the trade.
- Sell at the Right Time for the Right Reasons
- Be Clear About What You’re Selling
- Determine What Your Company Is Actually Worth
- Make Sure Everything Is in Order
- Get Professional Help When Selling a Company
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ITExitStrategy came about through the experiences of its members witnessing other IT Small Business owners leaving the industry for a variety of reasons over the last few decades. There were a variety of reasons for the departure; whether retirement, exhaustion with the stress related to the IT industry, selection of another career path, another job opportunity, or a myriad of other factors.
The members of ITExitStrategy also witnessed that in the vast majority of situations the owners of these small businesses never realized any remuneration for the company they had built. Our group completely understands the Blood, Sweat, and Tears that these owners had invested in their respective companies. As an aggregate, the members of ITExitStrategy have approximately 100 years of IT business experience. Additionally, there wasn’t usually a smooth transition for the clients involved.
We discussed the situation and decided there was an opportunity for a Win-Win-Win situation.
- First, the business owner that dedicated his or herself to building the company would actually receive remuneration for the long hours and stress associated with an IT service provider, no matter the size of the firm.
- Second existing IT Small Business Owners looking to expand their businesses have the opportunity to acquire an established IT Services company.
- Third and an important concern for all the exiting business owners we have encountered, he/she can be involved in the transition of the clients he/she has serviced and thus be confident that the people he/she has worked and established relationships with will be professionally supported.
We also realized that many small business owners within any industry at times are convinced that business acquisitions are just for the “big guys.” That doesn’t have to be the case. A business owner has an opportunity to earn revenue from the IT Small Business that he/she has built.
Our goal at ITExitStrategy is to realize the Win-Win-Win situation for all involved during a business and client servicing transition.