Buying & Selling a Business In Tucson Blog

How Long Will It Take To Sell My Business?

One of the most often asked questions and the most difficult to answer. My suggestion, both from an emotional and a practical perspective, is to assume it will take longer than you want it to or think it will. While timing can vary widely, the typical selling time for a Tucson business can range from two or three months to twelve months or even longer. Lots of variables account for this wide range.

Is the business priced to sell quickly (i.e. a real bargain for the buyer) or is it priced to get the highest amount for the buyer (i.e. it will need a very exited buyer to pay the higher price and get a lower return on that investment.)? Do you insist on all the cash up front or will you offer some terms and owner financing? The more you demand all cash, the longer it might take as there will be fewer potential buyers with whom to talk. What are the current economic and market conditions? If the economy is booming this will shorten the time it takes to sell a business. Then it is a “Sellers market”. If economic conditions are challenging, recessionary or uncertain it will likely take longer. Then it is more likely a “Buyers’ market”. And they will be more careful and conservative in buying a business. There are many other considerations pertaining to the sale of a business and finding a buyer.     

Other factors include the condition of your business, its appearance, its inventory, and its financial records. Where the business is located is another key issue to the length of time a successful sale might take.   

The more flexible or motivated you are as a business seller, generally the more likely a sale can occur and the faster that it may happen.  Your own personality or interaction style may shorten or prolong the selling process. So there is no easy answer to the question of “How long will it take?”  It might  be useful to note here that many, if not most business owners wait too long before putting their business up for sale and this adds time and a pressure that can be unbearable or unobtainable.

There are only three times to sell a business:  

• When you want to but don’t have to. 

• When you have to. 

• When they are settling your estate.

It is always more comfortable to start your exit strategy when you want to but don’t have to, time is not your enemy or an unbearable weight. Allow the process of selling your business to take its natural course while you maintain your business, and suddenly the sale will happen.    
Allen & Young Business Brokerage uses extensive internet advertising as well as social networking sites, and has a national and international presence allowing us to reach the highest number of qualified buyers.

Ready to talk about developing an exit strategy on your own terms?  Contact Larry Orenstein at Allen & Young at 520-820-1706.

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