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Studies Predict High Volume of Small Business Sales

Expert Reveals How to Prepare Companies for Prospective Buyers

In America, there is no business like small business.

According to the Small Business Administration, there are more than 26 million businesses in the U.S. that employ fewer than 20 people, and many of those companies are run by Baby Boomers. With more than 3.2 million owners already in their 60s, many might be looking toward retirement.

The National Small Business Association reports that one-third of those who own smaller companies may have to sell or liquidate part of their businesses this year for estate planning reasons. That means a lot of small businesses will be up for sale, a task that Eric R. Voth believes may not be as easy or quick as some Boomers think.

"Exit planning takes time, and preparation is key," says Voth, a business consultant and investor, as well as the author of "How to Sell Your Privately Owned Company: A Basic Guide for Independent Business Owners, Baby Boomer's Edition" (http://howtosellyourcompany.wordpress.com/). "Business owners need to begin by preparing their assets, just like they were preparing a house or a car for sale."

First impressions are important, so Voth recommends examining the following:

--  Is your parking lot in poor repair?
--  Are the shrubs overgrown?
--  Is there trash on your property?
--  Has the entrance way been swept or shoveled?
--  Is your reception area or foyer neat and clean?
--  Are visitors greeted quickly and with courtesy?
--  What are your employees doing? Are they busy, or are they talking,
    waiting around and drinking coffee?
--  Do the walls need paint, is the carpet worn and does everything look
    "dated"?
    

Those elements address the physical appearance of your business. To address the inner, financial appearance, Voth recommends bringing on professional assistance to ready your business for sale.

"If you wouldn't file your company's taxes without using a tax professional, then why would you want to risk a serious undertaking like selling your company without using professional services for that, as well?" Voth says. "There are specialists in the field who can help coordinate and manage the different aspects and administrative issues."

About Eric R. Voth

Eric R. Voth is currently a business transaction consultant and the former Board Chairman of Akron, Ohio, based Physicians & Surgeons (P&S) Ambulance Service.