If you are in the process of selling your transportation business, chances are that you have consulted with a financial advisor. Perhaps your trucking business has been on the market for several months, maybe even a year. You are quick to blame the economy. However, if you have chosen a financial advisor that is inexperienced in your particular industry, they may be doing more harm to your sale than the economy.
Oftentimes when owners try to sell a transportation business, they will find an advisor in all the wrong ways.
Recommendations
Their friend may recommend an advisor and they feel obligated to use them. However, this advisor may not be qualified or experienced enough to handle your type of sale.
Overestimating
Advisors who aren’t trained in the transportation industry will frequently overestimate the business’ worth. They will encourage their client not to settle for less than their valuation.
Random Choices
Sellers may simply pick any advisor or broker out of the phone book. They do not check out their qualifications, past experiences and skills, and sale history. Maybe the seller does not realize how important an experienced advisor is during the sale process.
When you are ready to sell your limousine, trucking, or charter bus business, you want to be sure to surround yourself and the sale with experienced advisors. You want to be sure to create a team of professionals including business brokers, lawyers, and accountants that will collaborate together to provide you with an accurate, realistic valuation and educate you during the sales process.
When choosing the professionals that you want to use, review your choices carefully. A few guidelines will help in this decision:
Testimonials
- See what other people are saying about the particular professional. If they are speaking to the business broker’s ability to maintain confidentiality while still bringing a wide range of buyers to the table, chances are they are experienced enough to know that holding out for that one buyer is not the best way to sell. They realize that having multiple buyers ensures enough competition to arrive at a sale faster. Testimonials are a great way to learn about how the professional made another owner’s sale worthwhile.
Experience
- You wouldn’t choose a used car appraiser to access the value of your home. Similarly, a general business broker will not have the specific industry related experience to give you an accurate valuation. Be sure to choose one that has worked extensively in your particular industry. Choose someone who has been a part of many charter bus sales or one that has owned and ran their own trucking company.
Previous Sales
- Be sure to pick professionals that will add to the value and overall experience of your sale. Find out what they can do to sell your transportation business faster and at a fair price.
So, if you are stuck in the process of selling your transportation business, quit blaming the economy. Rather, look to experienced professionals that understand the workings of your industry and the sales process involved.