Last month, we discussed exit strategies. It resonated with so many people that we decided to follow up with additional actionable information. Today, we're addressing things a seller should be concerned about. I'll discuss the buyer's perspective at a later date.

Selling a business can be a very emotional time for a broker/owner. You've poured your heart, soul, and lots of cash into your business. You've been through some great times and some really rough times. How do you know you are ready to move on to your next phase in your career and/or life?

A few things potential sellers should consider:

• Are you still excited about going to work every day?
• Are you doing the things necessary to be competitive in the future?
• If you are not, are you willing and able to do so?
• Are you ready to slow down or do something else?
• Do you know how much your business is worth?
• If so, is that enough for you to retire or do you have other assets?
• If you are a selling broker, how much more money might you be making if you did not have to worry about running a business and all the time that takes?

These are some of the important things a potential seller must consider before deciding whether or not to seek assistance in selling their business. Once that decision is made, there are a variety of other things that need to be addressed:

• How long are you willing to stick around? Most buyers want the seller to transition for some period of time to ensure stability. Many times a buyer will tie the payout to the company dollar of agents that stay so this might be a very good reason for you to stick around and make sure your agents give the new owner a shot.
• How much cash do you need up front? Most buyers are going to give you less than half down and the rest tied to some sort of payout tied to production.
• Do you have any family members or other personnel in the business that need any sort of special consideration?
• If you are part of a franchise, you will only be able to sell to someone within that franchise. Depending on how much time you have left on your agreement, this could limit your potential buyer pool.

When we work with sellers we are very focused on ensuring they are seriously looking at all these issues and more. The more a seller reflects on their personal situation and educates themselves about the process and what to expect, the smoother and more rational the experience.

We liken the experience of selling your business to what you do when helping someone make the decision to sell their home. The more they know about what's next, how to value their home, and how the process works, the easier if will be for them to deal with the emotional side of such a big decision.

To view the original article, visit the PCMS Consulting blog.