Strengthening Business Value
There are four areas to consider when selling as far as areas for pre-sale improvement.
You want to improve location exterior, any signage and other physical aspects similar to curb appeal when selling.
You also want to consider your lease – is it transferrable, what is the duration, would it be helpful to re-negotiate your lease?
Your online presence is also to be considered as well as any related domain names. Improve your website and also you’ll want to document web site usage and traffic counts to be used as selling points.
Check equipment ownership – personal or by the business, leased, paid for, etc. and make sure that you have records of such. Also locate equipment servicing companies and start a document that lists contact information for equipment repairs. Review service contracts & leases related to equipment.
Upgrade any furniture & fixtures that would be simple fixes and might increase appeal to a buyer.
You’ll want to create an organizational chart and have available job descriptions for your key management. Review any employment contracts and if necessary hire someone to do some of your work (if you are involved in day to day operations) that would increase transferability of the business.
Define employee policies & compensation programs and point out how they inspire retention and smooth operations.
Also define policies and procedures for independent contractors and create database or document listing independent contractors utilized (disclose these only at closing).
Define your production process and update or compose process manuals. Define inventory methods and write or update procedures for inventory maintenance. Review quality control processes and how they create business advantages.
These are some important considerations when contemplating sale to strengthen your business operations. Give us a call or email anytime to discuss more about what helps when selling a business.