Selling a big business can be daunting. When a company has a multi-million dollar annual income, every decision your business makes can have rippling effects on the value of your business. Whether your large company is run by a board of directors, a board of investors, a partnership, or just you, the large business owner, you want to sell your large business strategically.
Selling a large business has some similarities to selling a small to midsize business. The primary difference is there is much more at stake. Below are a few tips or items to keep in mind when selling a larger business.
When selling a large business it is important to keep it confidential. Selling a large company can have an impact on a variety of people and businesses. Because of that impact, it is vital to keep the sale of your business confidential. You don’t want potential customers, suppliers, and employees getting skittish.
Taxes are extremely important to pay attention to when selling a large corporation. Often you will pay a capital gains tax when selling a business. Make sure you have your accountant advising you of the tax implications of a transaction.
It can also be beneficial to stagger the payment for the business over a period of time. Delaying the payment for your corporation will allow you to defer the payment of your tax.
When selling a large corporation with a large board or multiple owners it is important to put one or two people in charge of managing the sale of the business. If too many people are involved it can delay the sale of a large business. Too many cooks in the kitchen always delay the negotiation process.
It can be effective to have the board meet the potential buyers. At that meeting, they can discuss broad topics on the sale of a business. At the final negotiations, it is more effective with only a few people.
What also makes negotiating the sale of a business more effective is having a business broker present. A business broker can act as a mediator between buyer and seller.
If you want to sell a big company effectively, you need to hire a professional business broker. Synergy Business Brokers has sold multiple large-scale businesses effectively over the years.
Synergy Business Brokers specializes in selling companies with annual revenue of $700,000 to $70 Million. We work in distribution, construction, manufacturing, technology, healthcare, services, engineering, education, and transportation. Contact us today for a free confidential consultation.
