7 Tips On How To Sell Franchise Business
1. Sell Fastest At The Highest Possible Price
How do I sell my franchise business fast at the highest price? It’s a great questions and the goal of most business sellers. You might think to yourself that you’re aren’t in much of a rush to sell, which is fine, but just be careful of your buyers perceived value. The longer franchise business stay on the market, the lower the buyers perceived value can become. That being said, this can only be true of those buyers that have previously enquired on your business. There are new buyers coming to market every week, so don’t let it hold you back from testing the market if that is what you want. You can do so without putting too many specifics about your business, allowing you to keep some level of unanimity.
You might be asking, how do I sell my franchise business without a broker? Trying to sell your franchised business yourself is often a very difficult process. Amongst other thing, you want to make sure that you’re protecting your sale as best as possible before introducing the buyer to you brands representative. You also want to get access to an excellent marketing campaign, and represent your business professionally. In truth, the answer to “how do I sell my franchise business myself?” sadly is, its very difficult to.
2. Get An Experience Price Opinion
How do I decide my asking price? Making sure your price is correct when going to the market is often the biggest difference between being on the market for months, or actually selling. Being overpriced means most buyers simply overlook you, but you also don’t want to undersell. Make sure you get an appraisal from someone who’s been in the industry and deals with buyers regularly. You can do this with us by clicking here.
3. Advertising Your Business For Sale
How do I advertise my franchise business for sale? The first key to getting your business priced correctly, the second is making sure as many buyers as possible see you for sale. This means advertising, and doing it right. Almost all buyers are looking for businesses online these days. Some preferring one website, others preferring another. But like when you go to buy a house, you search for businesses for sale in your area, and you want to be for sale on as many of the websites to appear as possible.
RealEstate.com.au for example lists almost all (if not all) of the houses for sale in you area. Similarly, websites like Seekbusiness do the same for businesses. Not many buyers follow specific brokers, they look on the sites that contain as many options as possible. To advertise on Seekbusiness today (26/03/2018) it will cost you $995. For just that one website!
You can get access to this website, and 8 others all included in the Bonza Complete Service.
4. Prepare Your Business Information
Its all well and good advertising your business strongly in the market place, however its crucial to make sure your information is prepared clearly for your buyers. Swamping them with document after document is not going to help, but a concise Business Profile document will allow your buyer to make a clear decision early on, avoiding wasting your time and theirs. The document is also the only tangible aspect of your business at this early stage that will be compared to other “competing” businesses for sale. So you want it to be professional, explaining your business opportunity, the price and how to proceed to purchase it.
5. When To Tell Your Staff About The Sale
Some owners prefer to do this as soon as advertising commences, others prefer not to rock the boat and wait until there is a serious buyer for the business. This of course comes down to how you feel about it, but your Bonza Sales Expert is here to give you advice about when to tell your staff based on your specific business, and of course how to tell your staff that you are selling.
6. Keep Your Business Running
Once you’ve decided to sell your business, don’t take your hands off of the wheel and keep your business running as smoothly as possible. Once your buyers start looking at your business, they are going to ideally want to see a business that is currently running smoothly, and potentially growing. Creating buyer is powerful in the sale process.
7. Budget For Your Exit
For many years, exiting your business has meant expecting to spend 10-15% and more of your total sale price. This is no longer necessary, but be prepared to invest at least a couple of thousand dollars to get the job done. You don’t want to cut corners on getting your business sold. You’ll need great advertising, to be priced correctly, and to prepare your business opportunity into a neat, clear, easy to understand document. This is what Bonza specialises in.
A Sneaky 8th Tip: Time To Sell
Remember as a franchise business, the time it takes to progress your buyer from offer to completion is longer than a stand-alone business. Allow for 2 to 4 months once your buyer has been found to be safe.
The most common question we get is how do I sell my franchise business as soon as possible?
These really are the secrets of how to sell your franchise business quickly. To recap, how do I sell my franchise business with no agent – make sure you still gain access to excellent marketing exposure, price it well, and prepare your businesses information well so that your buyer get a quick and clear understanding of your business.
Can I sell my franchise business for free? It’s possible to sell your franchise business for a lot less than using a typical “business or franchise broker”, but for free is very unlikely. You’ll be leaving a lot to chance by not advertising well, and not having your business information professionally prepared.
At Bonza, our goal is simple. To help you sell your franchise business at a profit, and sell your franchise business for cheap. It no longer needs to cost you tens of thousands. Just check out our Complete Package.