Common Reasons to Consider Selling Your Business

selling your business, DuPage County business lawyerFor many people, owning and operating a small (or medium-sized) private business is the realization of a lifelong dream. Reaching one’s dreams, of course, does not happen without many years of hard work, focused research, and an attitude of perseverance during the difficult times. When you stop to think about how much time, talent, and treasure that you have invested in your venture, you could be forgiven for being hesitant to realize that your run with the company is nearing its end. There are a few things you should keep in mind that might be indications that you should consider selling your business.

Reason #1: You Are Losing Your Passion

When you first started your business, you probably woke up every morning excited to get to work. Building a successful business and satisfying customers were more than daily operations—they were ideals that drove and motivated you into working as hard as you could.

They say that if you love what you do, you will never work a day in your life. While this may not be exactly true, as many days certainly require hard work, things are certainly easier while your passion for your business is at its peak. As the years have passed, however, you might find that running your business feels more like a chore than ever before. If you notice that you are no longer as excited about your company as you once were, it is probably time to start thinking about how you will get out.

Reason #2: Too Big, Too Soon

Believe it or not, it is possible for a business to grow too much too fast. When your company was small and you had just a few people working for you, you might have been fully capable of running day-to-day operations as well as performing your “owner’s” duties. If the business has exploded, however, and now you are faced with serving more customers that you initially expected to serve, the scale of the business could be beyond your capabilities.

It is important to recognize and acknowledge your own limitations. In a case like this, you could even be looking at a tremendous financial opportunity. A fast-growing company is often extremely attractive to larger companies and investors who might be willing to give you top dollar for the business you have built. If you are interested in doing so, you might even be able to remain a part of the company in some capacity after the sale is completed.

Reason #3: An Economic Downturn

Some industries are built around annual business cycles. Others have cycles that are better measured in decades. Still other sectors explode in popularity all at once and then fade in obscurity—sometimes permanently. Business trends and advances in technology can have a direct impact on your company’s success and long-term profitability, and you may need to adapt or get out of the way. For example, the online shopping boom of the last few years has pushed many “brick-and-mortar” retailers to the brink of collapse. If the evolution of your industry has you seriously questioning your future, now could be the time to consider other options.

Call a Wheaton Business Lawyer

For more information about selling a business or advice about knowing when to sell, contact an experienced business law attorney in DuPage County. Call 630-665-2500 for a confidential consultation at Stock, Carlson, Oldfield & McGrath LLC today.

Sources:

https://www.businessinsider.com/millennials-are-killing-list-2017-8

https://www.entrepreneur.com/article/247990