In the second quarter of 2011, there was an increase in closed business sales over the first quarter, despite credit still being tight. There’s speculation that small businesses are slowly coming out of their survival mode and starting to make money again, which makes them attractive to people interested in purchasing a business. But there are still mixed signals in the economy – some say businesses are still in the throes of the recession while others say that confidence is growing. Given all of this, is now a good time to sell a business?
The answer is that it depends. If you have a small business that held its own through the economic downturn and is in a stable industry, you’ll likely always find someone to buy your business, but there are no guarantees. If your business has the attention of a private equity group, you’re in great shape because many of these companies have cash that they want to spend.
Even if you decide that now isn’t a great time to sell your business, it’s always a good idea to begin preparing for the eventuality. Call upon a reliable appraiser to help you determine the value of your business long before you put it on the market. And once you have that information, take steps to increase what your business is worth to make it look more attractive to potential buyers.
Present Value LLC is a worldwide international appraisal and advisory company that provides a range of professional services such as Certified Machinery and Equipment Appraisals, Inventory Appraisals, Asset Verification Services, Business Valuations, and Real Estate Appraisals. Contact us today!
