Commitment is what transforms a promise into a reality, said Abraham Lincoln, and Damien Fahey and Sam Cherry of Tabak Business Sales could not agree more.
“If you bring your prized business to the market, you need to have already definitely decided you want to sell,” Damien says. “Long experience shows that vendors who bring a ‘laissez-faire’ attitude to sale, or simply want to test ‘who’s out there’, tend to be disappointed and potentially erode business value.”
The decision to sell can be difficult and prompted by different reasons or situations, and Damien and Sam are always very happy to talk your position through with you, to help you establish where you are really at and what your goals are.
However, fixating solely on money and entering the market with a successful sale predicated on receiving ‘top dollar’ is inadvisable. “Your mindset as a vendor needs to be focused not necessarily on achieving ‘maximum’, but ‘optimum’ – that is, what’s best for all parties. The fairest is not always the highest,” Damien says.
“There are real dangers with a total obsession on an extreme price,” Sam warns. “Once you enter the market, you have crossed a Rubicon of commitment, whether you think you have or not. You naturally lose edge because you stop thinking strategically about the future of the business and then if you don’t sell, can you re-energise?” Damien adds. “A business is a living, breathing, profit-making ecosystem – and business performance is directly impacted by how the owner feels and performs.”
Your business confidentiality could suffer if you simply ‘test the market’; a risk to your intellectual property, staff, customers and suppliers if you are not fully committed to the sale process. Further, if your business sits on the market for a long time, or if you don’t sell, but return to the market more seriously later, your business can look tired and you might walk away with less, all because it was not priced appropriately in the first place.
“Also, do leave some salt on the bread,” Damien says. “It shouldn’t be about squeezing the last dollar from a buyer or triumphantly beating the system; it’s your legacy of leaving something great behind, your staff, clients, suppliers continuing to grow and prosper.”
As well as the vendor, your broker needs to be fully invested to achieve a good result and that’s what you’ll receive at Tabak. “We aren’t a brokerage that collects bulk business listings without genuine intent to sell, and that’s reflected in our unequalled track record of listing to sales success ratio,” Sam says.
Damien and Sam ensure the information clients receive about their business’s value is backed by correct market data, banking and accounting advice. Transparency, accountability and validity of valuation methods are critical because they achieve great sales and avoid disappointed vendors.
Phone Tabak Business Sales on 03 377 7491.