From Portland Business Brokers Group.
Make the inventory story as clear as the sales story
A warehouse full of stock can support growth or tie up cash. Separate current products from old models, returns and items that need discounting.
Show sales by channel and season. A large pre-season order is different from a reliable stream of repeat customers throughout the year.
What belongs to the company?
- Brand names, designs and product photography rights.
- Supplier relationships and any exclusive distribution arrangements.
- Sales platform accounts and channel agreements.
- Warranty obligations and product liability records.
Confirm which contracts and accounts can move to a buyer. Do not assume an online marketplace or a major dealer will accept a new owner automatically.
Put working capital into the discussion early
Ask how inventory, customer deposits and supplier balances will be treated at closing. Two offers with the same price can leave you with different amounts of cash.
Document the people who design, source and sell the products. If every product launch depends on your personal network, a realistic handoff plan matters.
Prepare before the next selling season
A clean forecast starts with actual orders and defensible assumptions. Keep running the business while the sale is explored; delaying purchases just to improve a month can hurt the next owner.