If you’re considering selling your transportation business, you don’t want to get months into your attempts at sale, only to ask, “Why won’t my transportation business sell?” You can avoid that kind of frustration by learning about the common mistakes that business owners make as they approach a potential sale. If you can avoid these three popular pitfalls, you’ll have a much better chance of selling your business in a timely manner and at a good price.
1. Start out exhausted.
Have you ever heard of a runner starting out on a marathon after skipping meals for a week and staying up all night? That would be foolish. Yet, many business owners work obsessively before putting their business up for sale. Perhaps they fail to realize that the business-selling process can be draining in many ways—mentally, physically, and emotionally. Putting your transportation business on the market entails much more than writing out a paragraph-length description and paying a listing fee.
When you begin the process already physically exhausted, you make yourself extremely vulnerable to making irrational decisions and having a weak position for negotiations. If, instead, you enter the market with energy and enthusiasm, you’re in a good place to make careful decisions and cautiously choose the buyer that’s best equipped to continue your legacy.
2. Be indecisive about selling.
Once you decide to sell, you can’t afford to table those plans because a potentially big account seems imminent. Buyers understand that businesses for sale are not stagnant; they continue to grow and evolve during the time when they’re on the market. If a major account does come through, the sale price will reflect that increased value and make your business more attractive to buyers, as well. It could even put you in the position to watch a bidding war ensue! You may lose accounts during the 6 to 18 months it typically takes for a transportation business to sell. That’s okay, too. But delaying your sale just because a change is or may be on its way will all but eliminate your potential for finding the buyer of your dreams.
3. Haphazardly market your business.
We’ve all heard about the value of a first impression, and how we get only one chance to make one. Well, the same is true about putting your business on the market. Your marketing strategy needs to be targeted at your ideal buyer, considering the geographical pool and industry-standard pricing. General business brokers often fail to understand the ins and outs of the transportation business industry and, therefore, price business incorrectly or package the business ineffectively. By hiring business brokers that specialize in the transportation industry, you can ensure that the marketing and pricing you use put you in the best possible situation to sell.
By avoiding those three major mistakes that transportation business owners often make, you’ll be more likely to make your transportation business sale a success.