Selling Your Pet Grooming Business

So, you’re ready to sell your pet grooming business. Congratulations! As with any business sale, there can be challenges, but there are key steps that are necessary to take if you are looking for success. Check out our list of six things you should know before listing your pet grooming business for sale.

6 Things to Know Before Selling Your Pet Grooming Business

1. Get an appraisal or valuation of your business assets by a qualified appraiser, which will allow potential buyers to make offers based on current market values. A proper evaluation can also help you price the company more wisely and easily assess its worthiness in today’s competitive marketplace – as well as giving some insights into how successful (or not) it has been at generating revenue so far!Unfortunately, when many people think of the term “valuation”, they automatically assume that it refers to what your assets are worth in today’s market. But this is only half the story-though important, especially when you’re selling, there are other significant factors you need to take into account before putting a value on your business. The real value of your business lies in what it will be able to generate in the future. This means that your valuation should take into account not only the value of the assets you have acquired but also any other significant sources of revenue or income which may prove vital to securing a sale-so don’t forget about them!

   

2. Appraise the assets on the balance sheet, not just the equipment and tools you might like to have in the new owner’s vision for the business, but also intangible assets such as customer lists and vendor relationships that are valuable to maintaining operations after closing shop. Don’t forget to include labor and overhead costs in your balance sheet. Financial professionals can help with this step if needed so make sure that they are included in your balance sheet calculations as well.
3. Do a thorough business financial statement analysis to determine if your business is profitable and what the tax consequences will be if you sell it, either via a direct sale or a management contract. The tax consequences of selling as an individual or through management contracts may differ depending on how long the company has been around and what type of work they do for their customers.
4. Write up a strong purchase agreement with terms that include confidentiality clauses and non-compete agreements for employees. When selling a business, it is important to know what you are going through. If everything works out for the best and a contract is reached, make sure your attorney goes over all details before signing anything!
5. Conduct a comprehensive management assessment of your grooming business to analyze the quality of the day-to-day operations and inefficiencies that may be able to improve with some guidance from new owners. Keep in mind, this is also an opportunity for you to see what assets your groomers can bring to the table. For example, if you’re an older groomer with more experience, but your groomers are newer to the trade and eager to learn, new owners may be interested in hiring your experienced employees. You will want to make sure that you maintain control over who buys your business; you don’t want new owners shutting down the business or drastically changing what was working.
6. Negotiate a good purchase price for selling your pet grooming business and realize that the amount of money you can make from a sale depends on many factors, including how long it takes to sell the business; what condition the business is in when it comes time to sell; what kind of employees and customers you have had; if you are selling services or products, and the prices you charge; what demand there is for buying this type of business in your area.

Selling your pet grooming business doesn’t have to be a daunting task. If you’re ready for an experienced hand in the process, we at Sunbelt Business Brokers would love to help. We’ll collaborate with you from start to finish and walk you through each step of the process by evaluating all assets on the balance sheet and helping create provisions to ensure your groomers’ unique skills are still utilized post-sale. For more information about how we can assist with selling your pet grooming business in Naples, Fort Myers, or Sarasota, Florida, please contact us today!