Business Toolkit
Thinking About Selling Your Business ?
Take These Steps First
If you are considering selling a business industry veteran Errol Cvern has this advice : “ Get your head in order . And then your house in order .” Cvern , who recently retired from the CLDA board , was the president of Select Express , which was recently sold to AITWorldwide Logistics .
He advises business owners to take these steps even before they begin the process of selling their businesses . “ If you prepare for a sale well before you pull the trigger , it can make the sale little less traumatic ,” says Cvern .
GET YOUR HEAD IN ORDER
Step # 1 is personal . It ’ s all about deciding what you want from the sale of your company . “ You really need to know what you ’ re looking for from the deal ,” says Cvern . “ This is where people get lost . Are you looking for an exit ? Are you looking to continue to work ? Are you trying to build the business even bigger and need help financing that growth ? Do you want to find somebody to help you grow the business before you walk away ?”
He points out that not taking this first step often means owners do nothing until it ’ s too late . “ The people who end up not selling are the ones who really can ’ t figure this out ,” he says . “ They just get stuck . My advice is this : Know what you want because it will tell you what you need to get out of the deal . And what you ’ re willing to give up to make it happen .”
GET YOUR HOUSE IN ORDER
Once you determine what you want from a deal , it ’ s time to prepare the company for a sale . That will include :
• Having your company ’ s financial statements either audited or reviewed by a CPA firm – “ If you ’ re considering selling your business in the future , you should make sure that a reputable accounting firm is doing either a review or audit of your financial statements .,” advises Cvern . “ The higher the level of testing performed by auditors the more confidence buyers will have in your financial results . If you can ’ t afford a full-blown audit , having a review done is the next best step .”
56 customized logistics & delivery Magazine I summer 2023