In this article we will consider the most typical reasons for selling business that can be found in every country.
1. The main reason for the sale of business – is change of the place of residence. This reason is called in 70 of 100 cases and usually is untrue. For example, the owner who sold his furniture factory a few years ago due to a temporary move to another city was not going to leave. I intersect with him constantly in our town and he did not go.
2. Reaching retirement age. Generation of the first entrepreneurs is no longer young and increasingly they apply for service for the sale of the business.
3. Health. This is the reason is serious and needs no comment.
4. Fatal outcome of the owner when the wife, husband or children are forced to sell the company because of inability to control it.
5. Loss of equipment or lease rights, such as: equipment was leased or pledged, and it is not possible to repay the leasing company or financial institution; and, if the equipment was on the rights of use and the owner decided not to renew those rights. Loss of lease rights is understandable – the landlord terminate the lease.
6. Business is no longer profitable. Competition on the market forces to reduce the cost of services or products.
7. Lack of market of services or products, products or services are not demanded. I suppose that by the end of this year the number of salons and hairdressers will greatly increase, as once the number of manufacturers of PVC grew. a simplified system of transferring a building from residential to nonresidential involves opening a business that requires minimal cost – providing hairdressing services.
8. They have brought their offspring – business that execution of creditor obligations became unenforceable. The total assets are less than payable, or vice versa – the inability to return to the receivable. This occurs because of financial insolvency of the debtors or their legal or physical absence.
9. Business can be saved only when the additional investments that is difficult to draw on your own. Failure of one of the founders of the working capital negatively affects the support of the financial condition or business development.
10. Disagreements between the founders: the difficulties in making general decisions, the divorce process. The collapse of the family business – is fairly common. For this reason it is sold approximately 15% of operating businesses for sale.
11. Loss of interest in the business. This factor will occupy an increasing share of the reason for the sale of existing businesses. By the way, it is not the fact that it will be acquired another business for proceeds.
Business is a dream for lots of people. But nowadays business has become not only a kind of activities and occupation – it has turned into the article of trade. It is not a rare case today when someone buys and sells businesses just to make money on it. Whereas another part of businessmen sells their businesses because of some troubles or inability to conduct it any more. In any case when selling a business it is better to refer to professionals. And here business for sale site would be of much help because there one can find much details related with this process. Those who live in Canada are advised to go to toronto business for sale or vancouver business for sale experts.
And remember that before dealing with any issue it is better to learn some info about it. And today it is quite easy to do as Internet technologies provide you with a nice opportunity to find anything you need.