Why 2019 might 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 – I was one of them back in the 1980’s!).

Here are six reasons why a business owner might want to sell a business during 2019:-

1. You’re less interested in fighting the good fight
A lot of business owners took on the Global Financial Crisis (which started almost 10 years ago now!) and fought to survive by implementing cost reduction plans, whilst trying to find new avenues of profitable business in order to stabilise the business and achieve actual growth. However, if the prospect of possibly having to fight through another recession leaves you panic-stricken, it could be time for you to get out. Especially no one really knows what the ultimate effects of BREXIT might mean.

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 a track record with profit and revenue growth. With your numbers going in the right direction, 2019 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 ageing population. At some point this will mean increased taxes. If you are selling a business, you may well qualify for Entrepreneurs’ Relief – this means that you only (currently) pay 10% Capital Gains Tax on any qualifying gains, which is considered by many to be quite generous! But for how long? 

4. Nobody is lucky forever
If you’re lucky enough to be in a business that benefits from the current economy, congratulations…… you’ve probably just had the best few 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 and average deal sizes have since been 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 – (just Stirling’s last three deals alone, which total over £5m, provide the business owners with the bulk of the transaction value as cash on completion!). The activity continues through 2015, 2016, 2017 and now into 2018….

Are you ready to sell your business in 2019? Find out in just 2 minutes by clicking here!

 

To receive your FREE, regular updates on the latest Businesses for sale or Businesses wanted, together with FREE advice on buying and selling businesses, please enter your email address below……….