How can I sell a portion of my business?
If you are searching for an answer for - how to sell your share of a business, there are many types of business sales that can facilitate this, including an asset sale or a management buyout.
Asset sale – You may handpick company assets to sell in order to generate cash, refine service lines or remove services that are underperforming, however, have the potential to be profitable under new ownership. Divestiture is a term often used to address the disposal of company assets, subsidiaries or services through an asset sale. This is essential to ensure your business operates efficiently and maximises productivity
Investors – Invite investors with funds at the ready and an active interest in your industry to buy a stake in your business. This route can help generate extra cash for a percentage of your business in return, however, the level of investor involvement may vary
Management buyout (MBO) – While searching for a buyer for part of your business, a suitable party may be closer than you think. Management buyouts provide a vehicle through which existing employees can pool together and raise funds to buy a stake in your business.
Preparing for the sale of your business early can give you time to determine the most suitable company assets to list for sale. The motives behind the sale of selected service lines, subsidiaries or assets, such as intellectual property, equipment and machinery, will shape the path that you decide to take to sell part of your business.