Staging your Business
Ok, the kids are off to college or maybe they have already graduated and now you are empty nesters with rooms galore, and Johnny and Sara have taken jobs outside your community so there is no need for extra rooms, definitely not the 3000 sq. ft. house you lived in for the last twenty years, equipped with an entertainment center to die for; so lets sell the house take our money and enjoy life.
Sound familiar, you bet, we have all been there and/or about to be there but, the twenty year old house you love is, in fact, old and the house needs painting, the roof needs new shingles, the garage needs a repainted floor on and on, all of which will cost you about 25K to sell the house at a premium value.
So, you turn to your spouse as you are at a crossroads, do you spend the 25K to maybe sell the house at a premium or take your chances, maybe paint a room or two but the hell with the roof, and so it goes. We will leave the decision here for your own personal answer with the thought that the above analogy is a lead-in to this article on Staging for the business.
We, as long time business consultants, often experience the above scenario, as it applies to businesses wanting to sell or be acquired and, unfortunately, some, not many, show us the door when we tell them what they need to do, which includes house cleaning of their own per the recital below:
Hiring a professional business stagger, who will first, after their due-diligence, write a professional updated complete business plan including, but not limited to:
Then when the above is complete and the business is ready to sell, we will help you appoint a proven agent, one with whom we have had good experience, to actually sell the business. We can help here as we know the right groups, since we are well-connected to the local & national communities and can consult the seller on the terms and structure of any offer that is submitted by a buyer or merger prospect; in addition to bringing-in a proven business attorney, if the seller does not have one, who is part of our synergy partnership, just as are our accounts and computer gurus’.
We also evaluate and can recommend what course of action to take after the seller receives a valid PO or a binding or non-binding LOI or MOU, all of which definitely needs the right language to establish the buyer’s commitment and the seller’s protection from an aborted offer.
We also serve as advisors when, throughout the selling process, the owner/founder may second guess him/herself and wishes to discuss other options, which again often happens, especially after agonizing over undesirable offers from potential buyers; such as discussing other options:
Well, hopefully we have been able to clarify the Business Staging explanation of our mission and the reader will understand the nuances of selling their business and, not only, having a good real estate agent, but also, a professional business stager to prepare the business for maximum return on the seller’s long time investment in blood, sweat and tears, so rightly deserved!
MITCHELLETTE AND ASSOCIATES, LLC