Why Do You Want to Sell Your Business?
What we are about to discuss does not merely concern selling a business, but it can be applicable to selling in general, and that is the question – why do you want to sell? There is an anecdote about Ted Kennedy who was running the president of the United States. When asked why he wanted to be a president, he didn’t have an answer readily available, which almost cost him the whole campaign.
Business owners can be assured that they will be asked by potential buyers about their reasons for selling a business. Some of the questions they might ask are:
- Why do you want to sell the business?
- What should a new owner do to grow the business?
- What makes this company different from its competitors?
Only when knowing a proper answer to these three questions are sellers truly ready to sell. Moreover, they need to keep two more questions at the back of their minds:
- What is the bottom-line price after taxes and closing costs?
- What are the best terms you are willing to offer and then accept?
When answering the questions, your answers should be confident and ideally properly thought through, otherwise you may come across as overly anxious. Above all, your answers should be 100% honest.