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When is the right time to sell your business?

Selling a business is not complex anymore but deciding when to sell is the problem. Let's see when you should sell your business.
BY Akshay Arora
Feature Writer, BusinessEx
Dec 01,2017

Selling your business doesnt mean that your career is over; it could be a new start in life. An entrepreneur takes this decision generally on the basis of these common reasons: when they are not financially stable, they want to retire or they have found a better opportunity. In any of the case, an entrepreneur may plan but they were unable to decide when to actually go for it is.

When to sell your business?

  • Unable to match up to Break Even Point

    Every business has to go through ups and downs in its lifecycle but that doesnt mean that you will give it up. If a situation arises when a business is unable to match up to the breakeven point and entrepreneur thinks that investing will not be able to help it then it is better to sell it. If an entrepreneur knows the situation in the initial stage then it will help in raising the best price for the business. The breakeven point is nothing but the total cost is equal to total revenue and it is necessary for a business to at least match up to it in order to survive.

  • Better Business Opportunity

    In most of the business selling cases, the reason behind the transaction is that entrepreneur has found a better business opportunity. An entrepreneur always seeks for growth even after beginning from the start. You may think that what if you do your business and start another venture side by side but this will just be added pressure on your head. It is better to go for the new opportunities if you think that will amplify your growth.

  • Time to retire

    Some entrepreneurs plan to work hard on their business while running it and then just enjoy what they have achieved. In India, there are cases when an entrepreneur sold their business just to live with their family abroad. They know that their time to retire has come and by selling the business their hard work pays off. If your time to retire is near then start looking for the buyers to get the best deal.

  • A good deal

    A good deal is nothing but finding a better offer than the actual value of a business. If a situation like this arises then it is better to close the deal. No need to worry as you will have plenty of other opportunities that you can seek. In Industry, if you follow the trends then you will know that acquisitions take place because the small businesses get the best price for their business. Platforms like BusinessEx are the best solution for selling your business as you can find potential buyers and varied business opportunities.

3 Mistakes to avoid before selling your business

  • Selling Plan

    The most important step is to plan which covers how you are going to approach the buyer, business valuation, broker, business promotion, financial statements, etc. Most entrepreneurs dont give preference to planning and end up having bad deal instead.

  • Prepare your Financials

    The most common mistakes that entrepreneur does is not preparing financials properly. This is basic if a business shows growth and has completed its paperwork then any buyer would give the preference to that business.

  • Broker or consulting

    In general most of the entrepreneurs try to sell their business on their own just to save a few bucks from brokerage commission. If you are planning then please try to avoid this mistake as brokers and consulting firms help to find the best buyers available in the market. BusinessEx is the best low-cost solution to sell your business.


After reading the above information you must have a clear view on when the right time to sell your business is and what mistakes you should avoid while doing it. But selling is itself a difficult task which should be better leave to pros. There are brokerage firms as well as online portals like ours that help in finding potential buyers for the business.

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