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Working within the tire and service industry, I’m often asked the steps companies can take to prepare a business for sale and attract investors. This is the second in a series of articles that answers the most common questions I am asked by tire and service business owners. What are the costs involved in selling my business?
It is imperative to maintain confidentiality throughout the sale process and to take measures that will guard against competitors, employees, vendors and customers learning of an impending sale. In general, it can take from 3 to 18 months to complete a business sale, with the most common range of 6 to 12 months.
Exit Planning Should Start Now – Waiting until retirement or an emergency to prepare for an exit can result in financial disaster. A business should always be sale-ready. Assuming EBITDA multiples from other industries or strategic sales apply universally. A common mistake? laws,” Rivera explains.
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