The best way to get from under a bad business or business that is dying fast is to sell the business as quickly as possible, while still making a profit. I know for many it is difficult to sell your business because you grow a personal attachment, but in some cases there are warning signs that tell you it is time to get rid of your business. These warning signs often go ignored, but you should take heed.
There are several ways to sell a business. You can place a classified ad in your local newspaper, place an ad online, word-of-mouth, radio spotlight, etc. Regardless, how you decide to promote the sale of your business the first step is determining if a sale of your business is necessary. Here are some warning signs that will tell you it’s time to sell your business,
1) Personal life getting in the way
If you have become overwhelmed with personal issues then it may be wise to sell your business. If you are losing your family because of your business then you’ll need to decide which is most important to you.
2) Health related issues getting in the way
If you have health related issues which affects the way you do business or the business worsens your health problems then a sell of your business may be in order.
3) Financially impaired
If you are strapped for cash and your business is more of a debt than an investment then selling your business is a viable option to win back your finances.
4) Business inheritance
People inherit businesses everyday, but inheritance does not mean you are qualified to run the business. If you inherited a business that you do not know how to run then it’s time to sell.
5) Lifestyle changes
If you have a new life which does not include your business then selling your business is the best option. You may have moved, have a new addition to your household, or recently got married. Whatever the case your business needs to fit in with your lifestyle.
6) Damaged brand
Have you damaged your brand name to the point of no return? If yes, then it is time to let the business go. It may be a hard sale because no one wants to buy into a business with a bad reputation, but if you get out early enough and lucky enough then you’ll make the sale.
7) No competitive edge
If you are unable to grab a competitive foothold in your market then it might be wise to sell your business. If you’ve been in your market for years, but are still not known by industry experts or insiders — still unknown in the market as a whole, then your business is probably going no where fast!
8 ) Lost of interest
Maybe you’ve lost complete interest in your business and no longer want to pursue the dream. Lost of interest happens for a number of reasons. If this is the case, then selling your business is a way to profit from your lost.
9) Conflict of interest
If you have a business partner and the both of you are unable to come to terms or you two no longer get along then getting out of the business is probably a wise choice. You can sell your half of the business to your business partner.
10) Business growth
I know the last thing anyone wants to do when they experience growth is sell the business. Instead they should be thinking about hiring help, but some people are just not savvy or business minded and incapable of managing a large or growing business. In these cases, selling a business is a wise option.
Getting out of a business earlier than later can save you a lot of money and heartaches. You should always make the attempt to save a failing business or do everything you can before selling your business, but at some point it becomes inevitable and a sell is the absolute must. Taking heed to the warning signs above can help you make the right choice when considering selling your business.