It’s not uncommon for business owners to develop tunnel vision during a sale. When dealing with the finances, paperwork, and stress of selling an ambulance company, focusing on the finish line can keep you chugging along. But failing to plan for what happens after you close the deal is a mistake. From unexpected taxes to lengthy owner training sessions, business transactions sometimes end with unpleasant surprises. Perfecting your post-sale transition plan can help pave the way for a smooth and successful exit.
Managing Your Finances
Never assume that the purchase price is what you will walk away with after the sale of your medical transport business. Taxes on a business sale vary depending on whether assets are taxed as ordinary income or a capital gain or loss. Research your tax situation beforehand, and discount your asking price by your estimated obligation. Is the resulting number enough to meet your post-sale goals, whether you are planning to retire, return to the workforce, or invest in a new company? If not, you’ll need to leave yourself time to make adjustments. Making value-enhancing reinvestments such as equipment upgrades may increase the value of your company and your maximum price. Speaking with a financial advisor can help you develop strategies to stretch the money you do end up receiving from the sale.
Planning Your Post-Sale Presence
Maybe you’ve been hoping to walk away, check in hand, when the sale is complete. But sticking around to nurture customer relationships and provide training after a business sale can influence the success of the ownership change. Being on hand to personally reassure your supportive clients and employees that the new owner is legitimate and trustworthy will go a long way toward enabling a smooth transition. It’s understandable for business owners to have qualms about remaining tied to a business they were ready to exit. By implementing the terms of this transition period in the purchase agreement, you can define your limits upfront. Maybe you’ll agree to assist the new owner for the first few days as part of the deal. On the other hand, you might offer to provide continued consulting services for a fee. Whatever you decide, mapping out this important transition period beforehand works to the advantage of both parties.
Preparing for Your Future
Sometimes sellers become so wrapped up in the transaction process that they forget to solidify the goals of their ambulance business sale. Researching the implications of your transition from business owner to business seller can help you make informed life decisions. Even if you are not planning to sell your business tomorrow, crafting an exit strategy can put you in a better position to achieve your objectives when it comes time to sell. After pouring so much of your time, money, and soul into your business, you deserve to leave with your due reward.