How to Sell My Business?

If you wanted to sell your business, how would you go about it? You could:

Wait for a company to come along and buy you. If you have revenues under $50 million, it is not common for a strategic buyer or private equity group to stumble upon you by accident. They have to actively be seeking your company. Unless you have a lot to offer, there WILL be other companies to buy that also meet their strategic or financial needs. Even if a company comes to buy you, why give control to one buyer to decide how much they want to pay (which usually is around half of what they are WILLING to pay but won't unless you seek other interested parties).
Contact your competitors and customers. This may work in some instances, but you run a high risk of having your competitors ruin your reputation in the market or your customers leaving you. In addition, when others go about this process, they usually settle for the first company that shows interest and that company doesn't usually pay well without some other competition.
Ask your employees or management to buy you out. This may work in some instances but it isn't the best way to fully exit or get good terms. Frequently, valuations are sticking points which may leave a strain on relationships.
Hire an M&A advisor or investment bank to sell your company. An M&A advisor or investment bank, like Orion Capital Group, is the best way to sell your company on the terms and value that you are looking for. We take an objective look at how buyers would view your company, we fix simple things at the company that make it more attractive and we find multiple strategic and financial buyers that want to buy your company. Fees are mostly contingent and when using an M&A advisor or investment bank, business owners typically take home a lot more even after our fees. By using the right people, you significanly increase your chances of closing the deal, you increase your take home and you significantly reduce the amount of work (which can be substantial).

When you think "how should I sell my business", make sure you consider the pros and cons of all options.

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