Is My Business Ready to Sell?

1. How motivated are you to sell your business?

a) I'm motivated and ready to sell for a fair market price. b) Not interested in marketing it, but open to offers if you have a buyer. c) I'm not sure if I'm ready to sell.

2. How desirable is your type of business in the market?

a) Operates in a niche or small market. b) High demand, with strong buyer interest. c) Unsure.

3. How does your business compare to others in its industry?

a) Run of the mill. b) Leader in my industry. c) Unsure.

4. How verifiable are your financial statements?

a) I manage my own books, with some personal transactions mixed in. b) I have tax returns and financial records available for the past 3 years. c) I’m not sure about the details.

5. How much time do you spend working in the business?

a) 60+ hours per week. b) I am rarely there. c) Approximately 20 hours per week.

6. What is the condition of your equipment?

a) Functional, but likely needs upgrading or replacement soon. b) Well-maintained and in excellent working condition. c) I’m not sure about its current state.

7. How much owner financing are you prepared to offer to an identified buyer?

a) No financing; buyer must pay in full. b) Willing to finance up to 40% of the purchase price. c) I haven’t decided yet.

8. Do you know how much your business might be worth?

a) Yes! I know my SDE and what multiple to apply for my business. b) No, I assumed I could simply set my desired price for the business. c) I have a general idea, but not 100% sure.

9. How quickly do you expect to sell your business?

a) Within 6 months. b) Within 1 year. c) As long as it takes for the right offer.

10. How favorable is your lease agreement?

a) Month-to-month with no renewal options. b) 8+ years remaining with renewal options available. c) Favorable lease, with easy to work with landlord.

11. How has your business's sales trend been over the past 3 years?

a) Sales have been declining each year. b) Sales have been steadily increasing each year. c) Sales have remained consistent with no significant changes.

12. Do you have any outstanding liens against your business assets?

a) Yes, but I plan to resolve them at closing. b) No, there are no outstanding liens. c) The business owns all assets free and clear.

13. How prepared are your business documents and records for a sale?

a) All documents are organized and readily available. b) Some documents need updating. c) Documents are disorganized or incomplete.

How Ready Is Your Business For Selling?