(Contributed by Walter Bergeron)
As a spa owner, your plan from the very inception of your business is likely to someday use it as your retirement nest egg. To accomplish that goal, it may mean selling your spa to an employee, a venture capital firm, or a capable and deserving family member. However, if you want to maximize the number of zeroes on that check you will receive on closing day, then your best bet is to sell your business to a strategic buyer.
A strategic buyer is another company that will use your business to expand their business. The acquisition will serve to solve one of their problems instantly, thus exponentially growing their spa business instantly. Their problems may include a need for a larger client base, a need for another location to handle more production, or a need for trained and experienced personnel. Whatever the reason, they are willing to buy your business so they can solve their problem and grow strategically versus growing organically.
The problem is, right now your business is built to solve your problems, not theirs. You are currently building your business to provide you with a comfortable income, vacation money, security, prominence in your community, or any number of valid personal reasons. But none of these are real solutions that a strategic buyer would need, or more importantly, would willingly pay for top dollar.
No worries. You can still grow your spa business for a strategic buyer, and build it to suit your personal needs at the same time. That is, if you do it correctly, and if you act now.
Stay light years ahead of all other businesses on the market by listing the top 3 solutions that your spa can provide another. Say, if you have a healthy and responsive client base, list this as one of the solutions you can give. If you have well documented and proven operating systems, then list this as another solution. Go through the details of your business and figure out what makes it stand out from others like yours, then position your spa into a market of one.
The time and effort you put into this preparation today will pay off with more zeroes on the check you get when you sell your business in the future.
What solution does your business provide to another business’s problem today? Share your thoughts in the comment section below.
Are you building your spa for the perfect buyer? If you want to learn more on how to position your business into an attractive market of one, join Dori and Walter for the complimentary seminar on Financial Freedom: How to Plan Your Exit Strategy and Sell Your Spa Business for Top Dollar on April 14th, 2:00 PM Eastern. ?
About the Author:
Walter Bergeron began his entrepreneurial journey when he was just 12 years old, detailing cars in his parents’ driveway. Over the last three decades, he has built and sold multiple businesses, with his latest deal topping $10 million. He is a best-selling author as well as a Marketer of the Year awardee. His newest best-selling book is called “The 8 Figure Exit Formula” where he shows other driven entrepreneurs how to achieve their own eight-figure payday.