Analyzing the Health of Your Industry Sector and Overall Market – Trends

When selling your business, you need to assess the condition of your industry and marketplace.

Trends Based on the Information You Gather

The whole point of compiling industry and market area information is to become clear about whether your business exists in a strong and growing environment or whether it faces problems that will likely affect the attractiveness of your business as a sale prospect.

After you have an idea of how the industry and market area are likely to trend in the near future, proceed as follows.

If Trends Point Toward Growth and Strength in Your Industry and Market Area

Your business is ready financially and organizationally for a sale, then you can proceed with confidence, knowing that your industry sector and market area will contribute to the strength of the business you’re offering for sale.

If You See a Receding Industry or Shrinking Market

You may be wise to take some time to redirect your business toward new opportunities or at least be aware that you may need to discount the price of your business to account for the risky times it may be entering, based on troubled industry and declining market conditions.

Information from “Selling Your Business For Dummies” by John Davies (Founder of Sunbelt) and Barbara Findlay Schneck