How a market appraisal could be the best first step in selling your business
A successful business sale is typically the result of years of hard work and planning, but it can be difficult to know when to actually place the business on the market. If you are currently unsure about whether you want to sell your business, a market appraisal can help.
It provides a general outline of the market along with an estimation of the value of your business based on current market conditions. Your business trading history and current situation are factored in, along with recent sales of other comparable businesses.
What is a market appraisal when selling a business?
A market appraisal is a useful service that offers you an idea of the current market value of your business. It can also guide you as to the work that might be required to exceed the figure provided during the appraisal.
It is important to note that a market appraisal is not the same as a valuation - a business valuation is more comprehensive. The appraisal will help you decide whether or not it is worthwhile finding out more about the sales process and the potential timeline for a sale.
If you already have a price in mind that you feel the business could attain, a business market appraisal can be a significant benefit. It will either confirm the business’ potential or let you know that the price you want to sell it for is simply too high.
- Previous sales and acquisitions experience
- Sector specialisms and average success rate
- Sales value expectations and growth potential
Seeking a professional market appraisal
A market appraisal carried out by experts with extensive knowledge of your market and the sales process is invaluable if you are considering a business sale. It can be the catalyst for making this important decision on the future of your business, as well as your own future.
In fact, selling a business typically represents the end of a significant journey for business owners. The work involved from taking over a business or starting a new one to your current position may have been a labour of love or a precisely planned business exit strategy. In either case, however, it is vital to obtain professional support at such an important stage.
The Selling My Business team are business sales brokers with over 60 years of experience in securing successful business sales. We can provide you with a reliable market appraisal and help you throughout the sales process should you decide to take this route.
So what does a market appraisal involve when selling a business?
What can you expect from a business sale market appraisal?
A market appraisal concerning a business sale provides you with an estimated market value for your business. This typically takes into account the average current selling price of similar businesses in your area, in addition to any changes that we expect to occur in your market.
You will also receive our recommendations and ideas for increasing the business’ value where appropriate, as well as marketing advice should you subsequently decide to go ahead with a sale.
The information required to carry out a market appraisal can be gathered by us by phone, via online research, or perhaps face-to-face. This means it may sometimes be a desktop exercise rather than an in-person visit to your business.
For more information on market appraisals when selling a business, or indeed any other aspect of the sales procedure, please get in touch with our expert team. Selling My Business can support you throughout the process and ensure you stand the best chance of meeting your main objectives should you decide to sell.