Why 2015 will be the right time to sell a business……..
We have found that many business owners have been been thinking about selling their businesses, wondering if now is the best time. Most have been analysing the economic situation (wishing they had the benefit of hindsight for previous missed opportunities).
Here are six reasons why a business owner might want to sell a business during 2015:-
1. You’re less interested in fighting the good fight
A lot of business owners took on the Global Financial Crisis and fought to survive by implementing cost reduction plans, whilst trying to find new avenues of profitable business. If you’ve got your business stabilised but the prospect of possibly having to fight through another recession leaves you panic-stricken, it could be time for you to get out.
2. The worst is behind you
Let’s say you were mentally ready to consider selling a few years ago, and then 2008 hit and 2009 was bad, and in 2010 and 2011/12 you made cuts and adjustments, and now you’re seeing some profit and revenue growth. With your numbers going in the right direction, 2015 might be just the right time to make your move.
3. The tax man is coming
Governments around the world are looking for money to fund the cost of an aging population. At some point this will mean increased taxes.
4. Nobody is lucky forever
If you’re lucky enough to be in a business that actually benefits from a bad economy, congratulations…… you’ve probably just had the four best years of your business life. But no cycle lasts forever and right now might be a great time to take some chips off the table.
5. The coming glut
As a business owner, demographics may not be on your side. As the baby boomers start to retire in droves, we’re going to have a glut of small businesses coming on the market. That’s great if you’re buying; but if you’re a seller, you may want to avoid the flood and head for higher ground now.
6. Increased Market Activity – (for now!)
The Mergers & Acquisitions markets staged a strong recovery in 2014 with deal values in the first three quarters of the year higher that in the same period in 2013 and average deal sizes were at their highest for many years. For now, the recovery is looking resilient and optimism is high, fuelled by low interest rates and large cash reserves on corporate balance sheets. Deal values in 2014 were up 51% on the same period in 2013. For now at least, the activity is likely to continue into the winter and into 2015……
To sell your business successfully simply visit our page on selling a business.