Waiting to Exhale May Be a Mistake
Are you delaying the sale of your business thinking you have all the time in the world? Or are you waiting for the perfect time? Think again. Waiting too long may be mistake for one or more of these risks to procrastinating:
Increased competition. Who’s to say a new competitor won’t enter your market or a current competitor won’t introduce new services or (gasp) cut prices. True story: A friend of mine has a specialty retail store in a small town. A direct competitor opened a shop three doors down from my friend’s shop. Now my friend is in heated competition and is forced to change inventory and cut prices to maintain her business edge.
Owner fatigue. I don’t need to tell you managing a business is exhausting. Waiting too long can lead to burnout. The image of a business owner spinning plates on the end of a stick is painfully accurate. Are you tired of keeping the plates from falling?
Market uncertainties. Economic fluctuations and industry trends can turn against you. Can you say COVID?
Changes in your personal situation. You or a close family member may have health concerns that force you to sell before you’re ready. At the very least, every business owner should have an exit plan sketched out before he or she is forced to exit quickly.
Technology obsolescence. All our businesses rely on tech to some extent. Every time my business went through a tech upgrade in one of our key systems, it was expensive and time consuming. Do you want to go through another accounting, CRM or other software upgrade?
Employee turnover. The longer you delay, the more likely it is one of your key people will leave and then you will be stuck finding a replacement. Ugh. Even the fact that a key employee leaves lessens the value of your business.
Deteriorating financial performance. Buyers want to see a string of positive earnings. If you wait too long and your business financials take a hit for whatever reason, you’re going to lose business value.
Jack Canfield, author and expert business coach, said, “Remember, there is no perfect time for anything. There is only now.”
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