Sell Your Business Online and Get More Buyers
- BY Jaspreet Kaur
Feature Writer, BusinessEx
- Sep 03,2020
- 14 Mins Read
Creating a recognised brand to building a cult, a business owner does everything to keep the company buoyant. To gain speciality in a business, a company initially examines its competitors’ products, studies market trends, and scrutinises customers' behaviour. While managing the business, an entrepreneur always has to think ahead of time.
The business runs smoothly as long as the entrepreneur puts efforts. The moment he puts pressure on break, the business ceases and the bumpy ride ends. This stoppage is indicative of entrepreneur's intentions of not proceeding further. This can happen for several reasons like retirement, business loss, less scope in the market and tough competition etc. It leads to selling the business to potential buyers. While selling the business, an entrepreneur not only sells his company's name, customers, goodwill but also employees that are an integral part of the firm. If the entrepreneur retains a senior position like an advisor or consultant, the overall value of the business increases substantially and potential buyers would be willing to pay more.
Once the entrepreneur makes his decision, then he can begin finding new buyers. While selling the business offline, there are some things that enable the company's valuation, that are:
- By selling the business, an entrepreneur strikes down a deal with a new buyer, thereby, engendering liquid cash. In this way, he not only sells the business but also gets a chance to be involved in it.
- The entrepreneur has to ascertain the right time for selling the business. He must use opportunities that are available in the market. Accordingly, he can demand a high price for his business after examining market trends, economy, and other potential buyers. If the market situation is positive, business valuation will increase whereas in the falling economy, the price of the business decreases. Therefore, the entrepreneur has to keep an eye on the market before taking any business-related move.
- By offering an opportunity to become a part of the business despite selling it to the new owner, the entrepreneur performs a gesture toward the buyer. Former entrepreneur’s help, experience and knowledge turn valuable for the new buyer. This not only helps the buyer in transiting business but also apprehends the market and makes sound business decisions. If the buyer likes involvement of the former entrepreneur, then he can offer a full-time senior position like Board advisor or business consultant to the previous owner.
- After selling the business, the entrepreneur can diversify his finances. If he possesses equity in the business and it amounts to an ignoramus sum then he can convert it into liquid cash. He can further infuse money into other investments.
These benefits are borne if the business owner sells his business offline. However, if he sells his business online, then there are a multitude of factors that will increase the worth of the enterprise.
- As the business steps into the virtual realm, it will begin serving more customers. Meanwhile, there will be a surge in its goodwill. More people would start recognising the brand. This, in turn, will increase prospective buyers and their anticipation set with the company
- As the company showcases its business on the internet, it will learn new impressive ways to attract buyers. Digital marketing, creating a nexus of customers, and improving the online presence are some of the ways that it can use to attract customers
- The company can attract various new customers and convert them into a loyal customer base. By doing so, it will offer a readymade customer base to the prospective buyer. This will increase business' valuation and also, create a positive impact on the buyers. In today's time, when the competition is tough and demands are less, every industrialist seeks to invest in a promising business that can run smoothly via regular cash flows. A wide customer network will be evident of the success.
- By operating online, it becomes easier for a company to access licenses. Today, government bodies have their own websites that enable companies to complete documentation efficiently. While selling the business online, the entrepreneur can amend licenses and transfer ownership to the new business owner without any delay.
These advantages prove that selling the business online is much more efficient than offline. Firstly, it gives a large number of prospective buyers to choose from. Secondly, it improves the outlook of the company when it goes online and tries to resonate with a new niche.
More from Jaspreet Kaur
- July 11, 20173 Min Read
- January 10, 20183 Min Read
- January 20, 20183 Min Read
- January 22, 20183 Min Read
- January 24, 20183 Min Read
- January 29, 20183 Min Read
- January 30, 20183 Min Read
- January 31, 20183 Min Read
- February 05, 20183 Min Read
- February 06, 20183 Min Read
- February 19, 20183 Min Read
- February 19, 20183 Min Read
Recommended for you
- September 30, 2021
- September 17, 2021
- January 28, 2021