If you’re thinking about selling your fire alarm business, you probably have a lot on your mind. From wondering if now is the best time for you to sell your company to contemplating the various steps involved in making such a large scale change for your business, there’s certainly a lot to consider.
Before you make any decisions about the next steps you’ll take when it comes to the future of your fire alarm company, you’ll want to be sure you thoroughly understand what the sale of a fire alarm business entails.
While selling your business may be the right and most profitable choice, it can also be a big and at times overwhelming undertaking. Being familiar with what’s to come can help it seem much more manageable!
Here, we’ll share a few of the most important things you should know about fire alarm business sales so you can be well prepared when you decide to move forward with putting your company on the market.
What You Need to Know About Fire Alarm Business Sales
Keep the following things in mind as you approach the prospect of selling your fire alarm business:
1. Fire Alarm Sales Are More Complex Than Traditional Alarm Company Sales
Alarm company sales are often more complicated than sales of other companies and organizations because of the fact that alarm businesses can’t be accurately valued based on the typical EBITDA model.
Fire alarm sales are further complicated by the presence of service revenue and test and inspect revenue, which can have a powerful impact on the amount a fire alarm company is worth. Many buyers and brokers are unsure of how to value service revenue, which can complicate sales.
As a result, if you’re planning to sell your fire alarm company you’ll want to work with an experienced fire alarm company broker who can help you truly understand what your organization is worth and connect you with buyers willing to pay top dollar. (Rory Russell of AFS is one of those brokers – be sure to reach out to him if you’re considering a fire alarm company sale.)
2. Fire Alarm Business Valuations are Key
Fire alarm business valuations may be complex – but they are incredibly important if you’re hoping to sell your company for top dollar.
Getting a fire alarm business valuation is an important first step to the sale process. You need to know how much you’d like your company to sell for in order to maximize your profits. The only way to know whether or not the offers you are receiving are fair and reasonable is to completely understand how much your company and the service revenue it generates is worth.
Want to know how much your alarm business is worth? Request a FREE fire alarm business valuation here.
3. Service Revenue is More Valuable Than You Think
If your fire alarm company is already on the market, you may be feeling a bit disappointed in the offers you’ve received. If it’s been on the market for a while, you may be starting to feel discouraged and tempted to reduce the amount you’re willing to accept.
Keep in mind that service revenue is more valuable than many buyers realize. Don’t settle for anything less than top dollar when it comes to a fire alarm business sale.
4. There Are Buyers Willing to Pay Top Dollar For Your Company
Though some buyers may not be aware of the true value of your fire alarm business and its service revenue – and therefore won’t offer what your company deserves – there ARE buyers out there who are willing to pay top dollar for successful fire alarm businesses. You just have to know where to find them!
Working with an experienced alarm company broker can make a tremendous difference when it comes to finding qualified buyers. Learn more about why some buyers just won’t pay top dollar, and how to find the ones that will!
Need Help With a Fire Alarm Business Sale? Contact Rory Russell of AFS.
As one of the top brokers in the fire alarm industry, Rory Russell understands what it takes to sell your fire alarm business for top dollar. He knows company valuations inside and out and can accurately calculate how much your business is worth.
With Rory’s help, you’ll maximize the profits you generate from the sale of your alarm company. If you’re interested in connecting with qualified buyers to sell your fire alarm business quickly and for the best price, now is the time to reach out!