By Jordan Thomas
Businesses are bought and sold every day in the U.S. In North Carolina, every day, there is a new business owner unlocking the front door for a venture he/she never knew they might take. Maybe they never knew they could take. It’s exciting. It’s exhilarating. Right?
Yes it is!
But according to Business Brokerage Press in 2014, there was a decline throughout the U.S. in businesses being sold. Why? Some might say it was the obvious state of economy in that given area. Experts say it was across the board. But not in Charlotte. Businesses being sold grew at a rapid rate. Let us dive into some of those reasons businesses don’t sell so you stay ahead of the curve.
- Lack of financing available to the Buyer is the first of a few reasons. If you want to avoid being the Buyer’s bank, sell when banks are lending at affordable rates.
- Economic Forecasts can cause Buyers to be timid, maybe unwilling to take the first step or plunge.
- Unrealistic Price Expectations is common as Sellers may be unwilling to accept market price for their volume/profit. We all believe our house and our car are worth more than they truly are. Same goes for businesses. But it is in everyone’s best interest that the business being sold is priced correctly so that the Buyer can obtain outside financing and the Seller can enjoy the next chapter in life with a wad of cash rather than a lengthy note.