Most people wouldn’t think twice about hiring a realtor to sell their home. Yet when it comes to putting a limo company for sale, many business owners are reluctant to pay for a specialist. Unfortunately, it’s a decision that usually costs more than it saves.
When you put an average amount of time and money into marketing a sale, you can expect to see average results. What are average results? If you have a medium-sized business of any type, you have about a one in five chance of selling it, according to Business Brokerage Press. For a small business, chances fall to one in six. With odds like that, you can be assured that some of the businesses that do sell aren’t going for top dollar.
Limo business brokers have the knowledge and resources to maximize opportunities and drive deal flow. By helping your chauffeur business stand out from the pack, industry specialists pay for themselves.
The Internet can be a blessing and a curse for sellers. On one hand, the web allows anyone to list a limo business for sale. On the other hand, many owners and general brokers make the mistake of relying on online databases alone. Every business has an ideal buyer – a person or entity able to justify paying a higher price because buying a limousine business would provide strategic benefits such as lower overhead or an opportunity for growth. The catch is that your best buyer may not be in the market for a purchase, let alone be browsing a database for limo companies for sale. Limousine business brokers have the ability to target the top buyers for your business and, through education and relationship-building, motivate them to make an offer.
A successful sale happens when buyer and seller agree on value. Of course, that’s easier said than done. Many business owners set a price using an assumed value, perhaps based on the price of a similar limo business or an amount they believe would make for a comfortable retirement. Business valuations depend on a wide variety of factors, from obvious calculations like asset value to intangibles like a strong brand name. As such, no two businesses will have the same valuation. A limo business broker will apply a combination of valuation methods to achieve the most accurate market value for a given company. In addition, specialty brokers can leverage their understanding of the limo industry to express that value to buyers in an appealing way.
Confidentiality is crucial in a business sale. However, it’s nearly impossible for a business owner to independently handle a sale without significant risk of a confidentiality breach. All it takes is for one e-mail to fall into the wrong hands or a customer to get wind of a rumor, and the possibility of a sale – or of a company’s continued success – could be gone in a heartbeat.
In order to pull the trigger, a motivated buyer needs to be able to visualize the hypothetical success of his purchase. This can only happen in a stable environment. Limo business brokers screen prospective buyers without offering identifying information about the business for sale. Only after signing a confidentiality agreement will serious buyers learn your company’s identity.
The longer a company lingers on a listing, the more likely it is for something to go wrong. Limo business brokers specialize in engaging the right buyers and facilitating a deal quickly, efficiently, and discreetly.