The Melbourne Outlook – Marketing delay in vendor decisions to sell.

Today I would like to comment upon business owners – and the market in Victoria.  In the current market vendors are having problems making a decision to sell. They are invariably facing a huge decline in income from current investments (shares, cash deposits) as compared with what they obtain from their current business.  Retention of the business is a real option. It is easy for a business owner to take a “short term” view of their situation, and to make business decisions based upon current circumstances – rather than taking a long-term “big picture” assessment of their current position, – and have their goals and objectives can best be realized. Many SME business owners in Victoria are finding it difficult to fully commit to investing their businesses.  We find that business owners who make long term strategic plans, and regularly review those plans, enjoy vastly better outcomes in the long term. It is important to advise vendors of the current market and the potential market for selling a business and what can affect future prices (more and more baby boomers selling, interest rates increasing, technology affecting some businesses, on line competition etc.).  This way the vendor is in possession of all current market facts allowing for an informed decision.  It removes some of the uncertainty.   Business Broker Owen Mitchell