Selling your lawn care business is not as easy as handing over the keys—it’s about realizing the highest value for what you have built. The buying process is another layer of complexity you may not have taken into account (e.g. a buyer, financing, required legal paperwork, etc.), it often takes a lot longer than what you expected to close the deal. That is where a business broker comes into play; they are experts in the sale of businesses, and with their tools, knowledge, resources, and negotiation experience, they will help you sell your business and ease the process. Whether you are retiring, moving to another industry, or taking a leap into the next adventure, here is why hiring a broker may be one of the best decisions you make.

Accurate Business Valuation

Arguably, one of the greatest mistakes that business owners make is either overpricing or undervaluing their company. It includes the value of assets, revenue, customer base, brand reputation, look at other similar businesses in the market, etc. They will come up with a reasonable asking price that is fair to you and competitive to prospective buyers, ensuring you will get serious inquiries versus a waste of time—ensuring you will get every cent in a sale. Without an accurate valuation of your business, you risk having a potential buyer turn their nose at your business and leave a significant amount on the table. A broker can take the guesswork out of pricing and set everything for a successful sale of your business.

Confidentiality is Maintained

Keeping confidentiality is very important when selling a business. If your employees, competitors, or clients become aware too early, your operations, employee morale, or relations with customers may be affected. The goal of a business broker is to serve as a buffer to direct the selling process without unwanted noise. A business broker is responsible for pre-screening buyers, having buyers sign non-disclosure agreements (NDA), and only sharing sensitive information when necessary. All steps are taken to safeguard your reputation and continued operations. If you sell on your own, it will be much more difficult to control who knows what and when. But, with a broker, you can continue to run the business usually until the transition is finalized.

Access to a Network of Qualified Buyers

Discovering a legitimate and well-versed buyer is no easy task. Brokers have extensive networks at their disposal, including individual investors, business acquisition firms, and strategic buyers actively seeking businesses. Brokers use this network to quickly match your business to targeted buyers. Typically, these buyers are already vetted for financial means and are relatively serious buyers, which takes a lot of time and energy out of the equation. Without a broker, you may end up wasting time over months entertaining offers from potential unqualified prospects, or you could risk not reaching the right market. Brokers increase the odds of a successful sale!

Professional Marketing and Presentation

Selling an organization is similar to selling a residence from a marketing perspective. Brokers create marketing packages that professionally highlight your strengths as a lawn care company. It may include a detailed information package for buyers, a good listing package, and a summary package that is written appropriately and accurately reflects your business. They know how to market your service contracts, recurring revenue, and local goodwill so a buyer can “see” the firm. Without that polish, the firm may not look attractive to a serious buyer. The image presented to the buyer is key to providing a “good snapshot” and a reasonable rationale for asking price during negotiation.

Skilled Negotiation and Deal Structuring

Bargaining when selling a firm is more than simply agreeing on a number. Experience is essential to recognize and craft a deal structure, assess contingencies, and work through last-minute items. Brokers are skilled negotiators driven to get you as a seller, and the buyer wants but also keeps the transaction moving forward. Brokers also understand how to create price adjustments, close seller financing terms, establish non-compete terms, and manage transitional periods. Without experience, you could inadvertently agree to terms that may not be in your best interest. In this respect, the broker may have significant negotiation experience that helps you achieve the difference from a good deal to a great deal.

The End

Brokers provide more support and experience than you can find by yourself when selling your lawn care company. They help transition lawn care companies to the right buyer at the right time for the right price. If you are ready to sell your lawn care company, hiring a professional may be the best decision you have made!

Tags: Business Buyer, Business Purchase, Business Seller, Sell Lawn Care Business, selling a business