According to industry experts, the current market conditions make it an ideal time for business owners in Cornwall who are considering selling-up or merging.
Apparently there are a growing number of such people, and plenty of people of potential suitors. Business Link advisor Penny Bond explained: “Not everything is as it seems – there are plenty of private investors around and there are many individuals who are looking at opportunities for buying an existing business as a way of maintaining their livelihood.
“For small businesses that have an established customer base, offer scope for commercial development or are an attractive proposition for merger, the prospect of finding an interested buyer or partner is no longer a distant light at the end of the tunnel.
There are plenty of opportunities in most business sectors, but it’s essential to get the right advice before making any commitment as there are many pitfalls and unscrupulous ‘agents’ waiting for the unwary or the ill-prepared.”
According to Bond, many businesses have shelved ambitious capital investment plans but are maintaining their expansion through acquisition, while many other smaller businesses are looking to merge with other going concerns to create a stronger enterprise in advance of a future upturn.
“This has helped to create greater demand which has also been fuelled by individuals looking to invest their redundancy settlement in an existing business rather than deriving income by starting their own venture from scratch,” she said.
“The key for any owner of an established business thinking of selling up or transferring ownership is to ensure that they receive a just return for all of their investment and effort over the years, as well as all of their assets. With little in the way of Industry Standards and so many so-called sales agents looking for an upfront fee and adding a hefty percentage commission on final sale price, it’s easy to lose out or just be left with hollow promises.”
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