Thinking of Selling Your Business
Where are Your Likely Business Buyers?
Where are Your Likely Business Buyers?
The world is now thought of as a global marketplace. That might be true if you are offering a small, popular, easily transportable product. But it is not the case for a Small to Medium Enterprise (SME) business. An SME business is likely to be location orientated servicing a local community. Small businesses, by their nature, are usually fixed to a location, not for everyone and large in terms of products available.
But, it is easy for business sellers to be induced by the belief that there are potential buyers ‘all over the World ’ and they can reach them through the internet. All they have to do is pay.
The reality is that people in small businesses are not inclined to spend time travelling to and from work. Most want to live within one hour’s drive of the business premises. Further, for business owners or key people, there is always the call to attend to an unforeseen event.
The key questions for a business seller are:
My experience is traditional media has proved to be less attractive today. The ‘businessforsale’ portals are a good start. Social media has it place, but care is needed with confidentiality. Careful, thoughtful selection of the target audience, with advertisements focused at that audience is critical to a business sale success. Generally, about 75% to 80% of the market can be covered at reasonable cost. Granted, funds can be spent chasing that ‘overseas or interstate buyer’ but there is a cost in attempting to cover 100% of the market. It’s a question of ‘how much is paid for the details of a ready, willing and able business buyer enquiry. Spending on broadcasting far and wide may not be ‘value for money’.
If you need more information or help, please talk to me
Graham Long