When you are selling a business, getting the listing price right is critical—it’s the first thing potential buyers notice and can make or break their interest. Here’s why it matters so much:
- First Impressions Count The listing price is one of the first things a buyer will see. If it's too high, it can scare them away before they even look deeper.
- Positioning in the Market You want your business priced competitively with others in your market and industry. Overpricing could mean missing out on serious buyers, while underpricing might leave money on the table.
- Buyer Financing Your price affects what kind of financing a buyer can get. If the price is too far off, it can make getting a loan harder, shrinking the pool of interested buyers.
- Negotiation Leverage A fair and well-thought-out listing price gives you room to negotiate without scaring off buyers. Having some margin for negotiation can bring in more serious offers and better deal terms.
- Time on the Market An overpriced business might sit on the market for too long, and when that happens, buyers start to think there’s a reason no one’s biting. A well-priced business moves faster and generates stronger interest.
- Avoid Emotional Pricing It’s easy to price your business based on how much it means to you. But buyers care about the numbers. Using objective valuation methods ensures you don’t let emotions cloud your judgment.
This post was originally published at https://www.ericimendelsohn.com/
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