Selling Your Garage Door Business
You may have built your garage door business from the ground up, with your own blood, sweat, and tears. Or the company may have been passed down to you from a beloved family member. No matter how you acquired the business that you have now, you basically have three current choices. You can keep the business and run it forever, pass it down to your offspring, or sell it to an investor/business person.
If you are thinking of selling garage door business, you need to take a good look at yourself.
Finding quality workers can be tricky and the supply chain is still slow-going at times, or you might be ready to pursue other career goals or simply jump into retirement.
You may have thought to yourself, “Selling my garage door business is impossible.” But if you take a holistic approach and understand the intricacies of a sale, the experience will be beneficial to you and your wallet.
STUDY THE MIRROR
The first thing to think about if you want to sell garage door business, is to think about your own personal situation and your future goals. As far as your business is concerned, are you still in the zone? Or has owning a company lost its luster for you? Do you have a spouse retiring or grandchildren being born that make you want to spend more time with family? Do you have another passion project in mind that is starting to take your time and energy? Look in the mirror and really take the time to decide what your heart says about owning the company. Then you can make an educated decision.
TEST THE TIMELINE
If you do decide to go ahead with the sale, there are several ways to do it. Sell your garage door business immediately, which essentially means in the next 9-12 months, and you can step away entirely and get on with your life. The second type of sale is a partial sale, which is for people that want to pocket some money from the sale now, but still want to work for up to five years. Finally are the people who have a long term plan, and are not interested in thinking about selling until about five years have gone by. If you have been wrestling with the idea of how to sell garage door business, then you will need to decide which type of sale you want.
TAKE A SNAPSHOT
If you are thinking to yourself about “How to sell my garage door business,” studying the world of small businesses is the next step. Many small businesses are doing well, but there is also an upswing in costs and residual difficulties with the supply chain. Do a little research on the industry of garage door companies to see if now is a good time to sell your garage door business.
LOOK FOR VALUE
Along with looking at what is going on in the world, you also need to study what is going on at your business itself. If the question “Should I be selling my garage door business?” keeps popping into your head, then you should study the value of your business to discern if it is a good time to sell. Take a look at the cash flow along with other variables that show that now is the time. Choose a time of high valuation to sell your company in order to glean the best results.
EXPLORE THE GROWTH
If you think it is time to sell your garage door business, consider the avenues of possible growth for your company. You might be able to improve upon your recruiting and training process. Maybe there is a chance for geographic growth, or other ways to diversify your company. In addition to your own company, look at the world at large. Is a recession looming? Are you able to receive all the parts that you need for your business despite the supply chain situation? Exploring these options will help you understand if it is a good time for selling garage door business.
CHECK ALL ANGLES
You might realize it is time to sell your garage door business after you look at all the options. Whether your company was handed on to you or you have built it from the ground up, at some point you will need to hand it on to someone or sell it outright. Maybe you have a child that is interested in the family business, or maybe you think a beloved employee could do the job. As the saying goes, blood is thicker than water, and it is often difficult to pass on a business to a non-relative. In this case, selling to an investor might be to your advantage.
Full Scale Sale
If you are ready to jump, then a full scale sale is for you. You will sell 100% of your garage door business to the investor, stick around a short time to help with the transition, and then step away. This is perfect if you are ready to retire or have found other hobbies/jobs to pursue. Although it implies immediacy, this full scale sale can still take around 6-9 months, and the transition period can last as long as two years. Before the sale goes through, both you and the buyer will set the parameters about both the compensation and the timeline.
Partial Scale Sale
A partial sale, just as the name implies, is where you sell part of your company immediately but then work together with the buyer to build the company. To sell your garage door business in this manner, you would normally sell 70-80% of the company, and then work to build the business. Generally, owners would completely turn over the business in two to five years. This is a clever way to sell garage door business because you can immediately save some money from the sale, but also have another payout down the road.
The Future
You might not be quite ready to sell your business right now, but you might consider “how to sell my garage door business” in the future. If you are interested in keeping your business for at least five years, you still need to develop a long term plan. Building your cash flow should be at the heart of your plan. When it does come time for you to sell, the amount of cash flow is the number one predictor of a good sale, so do everything you can today to build a profitable company in the interim.
Why Work With Brentwood Growth
Access to Buyers
Over 400 private equity firms and consolidators that are actively looking to purchase.
Confidentiality
Ensure the sale of your business remains confidential to avoid disruptions for you.
Industry Expertise
More than 20 acquisitions with transactions from $80 million with an average of $4 million.
Valuation
Learn the value of your business and receive support with pricing to the market.
Negotiation
As your mediator, we work with you and the buyers to make sure both parties are satisfied.
Experience
Lead by a team with 75+ years of experience. Our experience ensures a smooth experience.
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