How to sell your business in Tampa Bay with the help of an SBA loan
How to sell your business in Tampa Bay with the help of an SBA loan
On a recent study of over 3600 businesses for sale in Florida, less than 200 add the following criteria:
-netting over $100,000
⁃ Sellers earnings represented based on tax returns
⁃ Lender Prequalified
And of that Unique group, 13 of them were under contract
Lender prequalified businesses tend to be highly regarded by the business buyer community.
One reason is that getting a bank to prequalify business often says something about the character and nature of the business.
Another reason is that in order to be prequalified, generally the seller house to provide some very good records. That’s particularly comforting to someone who’s ready to give up their job and care for their family based on the business that they are going to buy.
And a third significant reason why this is so popular is that if the individual buyer has the credentials to get an SBA loan, buying a prequalified business allows them to get in for 20%, sometimes his lowest 10% down. No matter what the price of a business, there’s a lot more people that have 10% of that price than the full amount.
Some businesses actually go back and correct their taxes to reflect the full view. Beginning with your accountant and sitting down with a professional to help reflect the full value business is a good first step if you’re thinking about selling your business. No one wants to pay any more tax and they have to. And are accountants do a very good job of making sure that our financial tax returns I have the minimal amount at the bottom.
So even if you have all your information on the tax returns, and your accountant has done her job or his job to minimize the bottom line number, taking time to normalize your statement will help The bank and future buyers understand the true value of your business. To normalize a statement, one normally adds back item set represent on her benefit from the business cash flow. For more details check out for formula at BuyBizUSA.com/SDE.
Before you reach out to your account and then review the specifics of your tax returns or financial statements to understand the total on her benefit or sellers description earnings. If you have further questions about selling your business, how to get the best price for business, and how to find the right buyer, reach out to us if you like.
All the best
