You have cornered a niche in the market with your pest control business, and certainly cornered your fair share of creepy crawly things, but when it comes to the future, there really are only three choices that you can make.
You can hang on to the business and run it indefinitely, you can pass it on to a trusted family member, or you can sell it on the open market.
And quite likely, “selling my pest control business” was not a class you took in school, so a pest control advisor can help you to understand the ins and outs of the process and set you up for success.
When it comes time to sell your pest control business, you have two basic scenarios to play with: a full sale or a partial sale.
Each type has benefits and drawbacks, and the descriptors below can help point you in the right direction for your personal situation.
A full sale, as the name implies, means that you will take your pest control business and hand over 100% of the business for an agreed upon price.
It often takes between 6-9 months to complete the sale of a business. And then typically you would stay on for a short transition period.
You and the buyer would ensure that the compensation was mutually agreed upon, and this should be a win/win for both parties.
A partial sale occurs when you still have some interest in your company, and want to continue working in it for a few years. In this scenario, you will sell a majority (usually 70-80%) of the pest control business, and keep the rest in equity ownership.
For a period of 2-5 years, you and the buyer will work together to build more equity and cash flow, and manage the business together. When you go to sell the rest, you will essentially get to take a “second bite of the apple” as you complete the transaction.
For those with a more long-term sale strategy, there are only two important words: cash flow. If you are interested in selling your business in five years or more, do everything in your power to maximize your profits today.
Even if you want to sell your pest control business years from now, your work today on cash flow is extremely important.
Don’t wait until right before you are ready to retire, or you will lose precious cash flow that would help at sale time.
For those pest control companies who are interested in learning what selling my pest control business would consist of, the experts at Brentwood Growth can set you up for success.
You have a lot riding on the sale of your business, both for you and your family. And you should have a lot of faith in our experienced team who have all the bases covered for you. Call us today.