09 Nov Give Yourself More Options Before You Sell
Owners often begin thinking about selling long before they speak with a broker. Retirement may be approaching, family priorities may have changed, or they may simply be ready to do something else. Whatever the reason, preparing early gives you time to address issues that could affect your price, your timing, or a buyer’s ability to complete the purchase.
At Sam Goldenberg & Associates, we help owners understand how their business may be positioned for a sale, what buyers and lenders will need, and which preparations deserve attention.
Know what you want from the sale
Understanding why you want to sell helps clarify what a successful outcome would look like. Do you need to leave by a particular date? Are you willing to stay through an extended transition? Is receiving all your proceeds at closing a priority?
These are useful conversations to have with us early. Your priorities help us evaluate offers, negotiate terms, and identify where there may be room to reach an agreement. Buyers will also ask why you’re selling. A straightforward explanation gives them context for the opportunity and your timeline.
Whenever possible, begin while you still have flexibility. Waiting until health, finances, or exhaustion dictate the schedule can narrow your choices.
Give us a clear financial picture
We generally begin with several years of tax returns and financial statements, a current balance sheet, your lease, and information about equipment, inventory, and outstanding loans. From there, we can identify what else is needed to understand the business and prepare it for market.
Your records should tell a coherent and consistent story. If P&Ls and tax returns differ, we need to understand why. Personal expenses paid through the business should be identifiable and documented. An unusually strong or weak year needs context.
A stable Chart of Accounts also matters. If field labor appears in Cost of Goods Sold one year and Operating Expenses the next, gross margins may appear to improve even though the underlying economics haven’t changed. These shifts make it harder to compare performance from year to year and distinguish operating changes from bookkeeping changes.
If you change accountants or bookkeepers, ask which substantive changes to the Chart of Accounts are necessary and why. When classifications do change, keep an explanation of what moved so we can make meaningful comparisons and present the financial history accurately.
Keep the business performing
Once you’ve decided to sell, it can be tempting to defer repairs, reduce inventory, or pull back from daily operations. Those decisions can weaken the business just when buyers are examining it most closely.
Maintain normal hours, appropriate staffing and inventory, and routine upkeep. Buyers and lenders will continue reviewing performance throughout the transaction. A decline after an offer is accepted can prompt further questions, renegotiation, or financing difficulties.
While you concentrate on operations, we manage the marketing and buyer conversations. We also work with you on confidentiality, including how visits are handled and when employees, customers, and suppliers should be brought into the conversation.
Evaluate the offer with us
The purchase price matters, but so do the terms attached to it. Seller financing, contingencies, training obligations, and the closing schedule can all affect what an offer means for you.
Sam Goldenberg & Associates can help you compare proposals, assess a buyer’s qualifications and financing prospects, and negotiate around your priorities. An offer below asking price may provide a starting point for a workable agreement. A higher offer may come with conditions that make it less attractive or less likely to close.
We help you weigh those tradeoffs and coordinate with your accountant and attorney as tax and legal questions arise. You bring your goals and knowledge of the business; we bring the transaction process into focus.
You don’t need to have everything ready before contacting us. An early conversation with Sam Goldenberg & Associates can help you establish realistic expectations, identify what needs attention, and choose when to move forward.
