When you are in the market to sell your business, you want to be working with potential buyers that are financially capable and trustworthy. Here are some clues you should watch for:
- Financial considerations are lined up
Serious buyers have funding in place. They are willing to share their financial status to verify their funding capacity. Serious buyers also understand the business will likely need an infusion of working capital and be prepared to fund that as well.
- Understanding the process
Serious buyers have done their research about the business acquisition process, even if they are purchasing for the first time. If the potential buyer knows processes like due diligence, business valuation, and the market in which your business operates, he or she is more likely to be a serious candidate to buy your business.
- Passion or enthusiasm
Serious buyers are excited about your business and its future. They ask in-depth questions to learn important details about your internal operations, goals, and potential growth opportunities. In contrast, tire kickers tend to ask irrelevant questions about non-material details.
- Solid business history
Serious buyers have a record of success that would indicate they have the skill set to be successful owning your company. Moreover, they are open to providing information about their ownership in other companies, and/or their current and past employment. The minute you detect vagueness about their background, run don’t walk.
Vetting Potential Buyers
Vetting potential buyers can be difficult. Your gut feeling is important but it needs to be affirmed by tangible factors that signal whether you have a serious buyer on your hands. Tennessee Valley Group, Inc. can walk you through the entire sale process. Contact our team to find out more.
Tennessee Valley Group
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