Selling a business in any sector requires a carefully thought-out strategy and help from several important services. In the construction sector, this becomes even more important; you’re not only selling a brand and the faith of a number of customers, but you’ll also be selling a range of complex material assets. Navigating the sale process can be tricky, to say the least – here’s how you should go about starting that process.
Check your motivations
Before you jump into the sale itself, you need to sit down and have a proper think about why it is that you’re selling. Are you just looking to get out as quickly as possible, with no regard for how much you make? Do you want to get a proper return to set you up for your next venture, a return that you’re prepared to wait for? Are you hoping to pass the business on to new owners who will respect your business ethos and look after your clients? These are all important questions to answer before you start developing a sales strategy.
Get your paperwork together
Next, you need to seriously get your paperwork together. This will be very important in terms of getting an appropriately accurate valuation. You need to know exactly what your outstanding debts are, your overall assets, and any future predictions around growth or shrinkage.
This will take time, and will likely need to be done together with your accountant. Having your paperwork in order will also be crucial further on in the sales process, when potential buyers start to do their due diligence.
They’ll need to have access to important regulatory and financial information, and you want to be able to provide that access with as little difficulty as possible.
Get help
You shouldn’t try to sell your construction business all on your own. While there are some situations where everything will just line up naturally, in most cases, you’ll need to work with accountants, business brokers such as Dexterity Partners and an experienced solicitor. All of these services will help ensure that you get as much as possible in return for your business, while also helping you stay in line with any relevant laws and regulations.
Develop & execute your strategy
Once you’ve gotten a team together to help you with the sale, it’s time to develop and then execute your sales strategy. This will likely include putting together documentation that clearly illustrates the business’s position in the market, why it’s an attractive option to buy, along with any other relevant and important factors. It will also include putting together a marketing strategy, including the identification of a clear target audience.
Selling a construction business, especially one that you spend decades building up from the ground, isn’t something that you should take lightly. It’s imperative that you take the time to establish what it is that you want and need from the sale, so that you can put together a team of professionals to help you meet those goals.
