Over 90 percent of business sales fail.
It’s a stunning figure and a warning to all baby boomers and seniors, who own businesses and are planning to sell them before retiring, that the process can be hazardous and the end result can be heartbreaking.
The US faces a potential $6-trillion economic crisis as over 70-million soon-to-retire baby boomers, many of them small business owners, sell or try to sell, their private businesses in the next decade. If baby boomers cannot effectively sell or transfer the 4.5-million private businesses they own to the next generation, it could have a huge impact on our economy.
Retiring boomers and seniors need to be confident that a sale will not only succeed, but their companies will survive and thrive. A successful sale insures that long time loyal employees will keep their jobs and the cities and town where they live will continue to keep its residents employed.
Unlike selling a home, a vehicle, or another tangible asset, selling a business can be exceedingly complex. There are several factors to consider beyond assets and financial performance, as well as the process of the business transfer itself.