The decision to sell one’s business in Chicago, IL is never an easy one. However, it may be the right time for you to take this leap if your company has been struggling lately and you feel like it’s not worth the effort anymore. If you’re thinking about selling your Chicago-based company, then this guide can help walk you through the process of what needs to happen before, during, and after a sale.
What is the first step to selling a business in Chicago?
The first step in selling a business in Chicago is to create an effective plan of action. Having a clear, concise strategy will help you find the right buyers for your company and allow them to succeed after purchase. Without good planning, there could be costly mistakes that drive away potential investors or even result in legal trouble down the line. Planning not only includes deciding on what type of buyer would be best suited for your company but also preparing all necessary paperwork and getting things like tax returns and other filings ready before making contact with any potential candidates with Business Brokers in Chicago.
How do I know if my business is worth anything?
When you are selling a business in Chicago, it is important to be realistic and understand that your company’s value is only what someone else will pay for the assets. Factors such as how much time you have spent building up your brand, what industry you’re in, or if there’s any proprietary knowledge can all play into determining its worth. Generally speaking, however, when valuing small local retail businesses – typically between $100k-$500k – experts say to use an EBITDA multiple of around 50%.
Who should I sell my company to?
You are not required to sell your company, and in some cases, it might be best if you do not. If selling is the route that you choose to take, then there is a great deal of competition for Chicago business sellers which also means stiffer pricing. Most businesses can expect offers from multiple buyers when they make their initial calls and this opens up more opportunities than ever before for entrepreneurs looking to get top dollar.
What are some of the challenges that might come up during this process?
The process of selling a business in Chicago is not the easiest. There are many challenges that can come up during this process, but there are also ways to work through and around these problems should they arise. Some of those common barriers include non-disclosure agreements which protect sensitive information from being exposed outside the company, as well as other issues like employees who have just been laid off or customers with outstanding payments that simply lack funds for payment at this time.
American Business Acquisitions || Business Brokers / M & A Advisors
633 S Plymouth Ct Suite 708, Chicago, IL 60605