How to Prepare and Sell Your Business Online in 2022
No matter how successful your business online may be, now is a great time to sell it. Maybe you are ready to start a new business story. Or maybe you feel like the business has reached its peak and might not generate as high a revenue in the future. Read on to learn how to successfully prepare and sell your business online in 2022.
Whatever your reasons, preparing an online business for sale is not something you can do overnight. Or can you?
I sold 2 of my blogs at a profit in less than a week.
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Organize your finances
Keeping finances in order is essential for running a sustainable and successful business. And when the time comes to sell that business, you will have already taken care of a lot of the pre-sale preparation, just because of your tidy financial habits.
When developing your financial strategy, be sure to:
Separate professional and personal assets. Some entrepreneurs (especially solopreneurs) are relaxed with their money, which means they don’t separate their personal and business assets. In turn, everything becomes tangled up so much that it is difficult to determine where certain expenses and debts lie. When the potential buyer sees such a financial mess, they will likely miss out on the acquisition.
Analyze monthly, quarterly and annual statements. Business owners shouldn’t take their bank statements for granted. Take the time to analyze bank statements and balance sheet at the end of each relevant financial period.
Know your income and profits. Closely related to the previous tip, always be aware of your income, costs and profits. Reduce expenses when income falls and invest more when income rises.
Use accounting tools. Trust small business accounting tools like Freshbooks to meticulously track and accurately calculate all of your financial numbers.
Organize invoicing. If you decide to sell your business, the new owner will want to learn more about accounts payable and receivable. Categorize and store your invoices properly, and you’ll have a head start.
Establish clear internal procedures
When a business or a single business owner catches up with a business, they don’t want to change everything from scratch. Of course, they will make some decisions after analyzing the financial records, but if they can invest in a working mechanism that starts making money immediately, they are in it.
This means for sellers that you will sell your business sooner if you establish clear internal procedures for different business operations.
Create a rulebook that will encompass several sets of procedures.
For example, you need one set of procedures for accepting new customers and another for onboarding new employees. In addition, you will need to bring internal procedures to meet legal and financial regulations, such as PCI compliance.
Since your business operates online, remember to specify the procedures for keyword research, content creation, competitor analysis, and other factors regarding driving traffic to your site.
Prepare traffic data to sell your business online
You will need to prepare the relevant website data for the seller. This includes:
- Traffic data. Use Google Analytics or more advanced tools to prepare a website traffic report. The new owner will want to know how many visitors you have and how much money their visits are making.
- Audience segmentation. Prepare analyzes and detailed information on the segmentation of your audience. When the buyer takes over the website, they can continue where you left off.
- Research data. If you’ve recently tried improving your SEO results or promoting the website to get more traffic, share that information with the new owner. This will help them understand the steps to take to achieve even better results.
Consider the put options
Now that the critical pre-sale items are ready, it’s time to look at the put options.
Unless a potential buyer takes the first step, there are several ways you can find the new owner for your business.
First of all, double-check all your documents, contracts and figures. Work with an experienced lawyer or hire a broker.
Since valuing an online business can be difficult, it is best to get professional assistance during the sales process. They will help you set the minimum selling price for your business. It also doesn’t hurt to check out what your competition has been up to. Find a business like yours that has been sold recently and find out more about its selling price and how it works.
Also inquire about selling your business to a rival business, as there is one that would buy your business. This is convenient because the buyer would already be familiar with most of the house procedures and basic operations, which will save you time.
Even if you aren’t planning to sell your business online just yet, it’s wise to think about it in case an opportunity arises and you change your mind. Plus, if you run all aspects of your business like you’re going to sell it tomorrow, you’ll meet all legal and financial requirements.
Follow our advice and you will cover each base in advance. Once you decide to sell, you and your business will be ready for all the necessary procedures and new owners.