Should You Sell Your Business? 5 Signs
Should you sell your business? After spending many years building up a successful business, knowing when the right time is to let it go can be challenging. And while you can have some obvious indicators — like a health problem or major changes in the industry — other signs are not so easy to identify. To help determine if it’s time to get out, consider five less common things to look for — and why.
1. You Don’t Enjoy It
Running a business is hard work, so it is not always the most enjoyable endeavor. But you should be enjoying many aspects of it despite the effort.
Do you enjoy your day-to-day work, taking risks, and working with customers? Or do you wake up dreading the paperwork, want to spend time with family rather than payroll, or hate having to deal with staffing issues? Being a business owner is consuming, so there is no shame in stopping if you no longer enjoy it.
2. You’re Bored
Do you still find challenges in your business? Are you looking for new products or services to offer? Does growth excite you? Conversely, maybe you have lost interest in what used to excite you about the business. If your focus and interest is dwindling, maybe it is time to explore your exit strategy.
3. The Industry Has Changed
The business world and marketplace for many goods and services change rapidly these days. A smart small business owner keeps an eye on trends that will affect them — positively or negatively.
An online-only business which launched during the pandemic, for instance, may not thrive after the return to in-person activities. On the other hand, an older business that started in the analog world may not be ready for the digital one. Or perhaps your services are less relevant to the modern consumer.
4. You Have Reached Your Goals
Why did you set out to start and operate your own business? Did you want to be your own boss, support your kids from home, or take your idea from birth to fruition? Did you set out to operate a small business but now find yourself in a growing one? Have you reached your retirement funding goals from the business?
If you have done what you planned and wanted to do, do not force the business to overstay its welcome in your life. Set new goals and reach out for them instead.
5. Your Business Is on a Growth Trajectory
Some business owners think that the right time to sell is when their business is at its financial and operational peak. After all, a great balance sheet and high profits will attract buyers, right? While this is true to an extent, buyers also want the business to have a positive growth trajectory.
Do you see any of these subtle indicators in yourself or your business? Then now may be a great time to look into finding the right party to take it over. . Start by meeting with the team at Sun Mergers & Acquisitions. We will help evaluate your organization’s potential for sale and take it to the next step if that is right for you. Make an appointment or call to get answers to your questions today. We look forward to speaking with you.