Many of us have owned our golf car businesses since the early 2000s or before. That’s 20+ years of living and breathing golf cars. It can be exhilarating to install new product on a build, but it can also be monotonous to answer the same golf car questions everyday. There are several reasons why a business owner would consider selling their business:
- You are nearing retirement age
- You expected your kids to get involved with the family business, but they show no interest
- You have built a strong foundation and think that scaling it would be better left to someone else
- Your health has taken a downturn
- You are bored and want a new and different challenge
Whatever your reason for being exhausted, perhaps it is time to think about an exit strategy.
Even if you haven’t considered selling your golf car business, it never hurts to prepare your company for the best outcome, should the opportunity for sale or acquisition arise. Here are some steps you can take to make sure your golf car business is in great shape, both for daily operations but also in the event you decide to sell.
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Highlight the Positives
Even if you never sell your business, focusing on the positives and growing those attributes is always a good idea. A healthy business needs a group of customers who are happy to pay your prices and pay on time. A thriving business also needs an effective marketing funnel that consistently brings new customers to the door. Focusing on the positives allows you to continue to grow your business and keep your customers happy. The acquisition and sales process can be disruptive and the strengths of your business will help the process to run more smoothly.
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Review Your Processes
A necessary part of transferring the ownership of a business is clearly communicating the processes and governance of the business. Ask yourself the following questions before considering a sale or acquisition:
- Are your licenses, registrations and bylaws current?
- Do you have an updated Standard Operating Procedures Manual?
- Is your benefits package up to date and well documented?
- Do you have an organizational chart?
Many of these systems are the backbone of your business and should be updated regularly.
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Prepare Your Financials
Whether you are actively selling your golf car business or not, having your business financials in order is imperative. Prepare quarterly financial statements and analyze your sales pipeline, financial models, sales growth, and other important measurables. Since golf car businesses are seasonal in many areas, be prepared to explain highs and lows in revenue and develop innovative ways to smooth those dips. If you are considering a sale or acquisition, invest in a financial audit to make the due diligence process smoother.
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Go Public With Your Wins
Even if you have never considered selling your golf car business, announce your wins on LinkedIn or in your monthly newsletter. Did you make an exciting new hire? Let everyone know. Are you partnering with a new manufacturer? Announce it! Larger businesses are actively scouring LinkedIn and industry publications for news of growth and innovation so that they can acquire smaller businesses. Who knows- yours may be next for a healthy payout.
We never know what life will throw at us. Even if selling your golf car business has never occurred to you, you may suddenly find yourself in a position where selling is your best option. Follow these general guidelines and look at your business through the eyes of a buyer to ensure that you are always in the best position.
Julie Starr, Owner of WHEELZ Custom Carts & Accessories, was one of the industry’s first online retailers of golf cart parts, when she founded her business in 2008. Julie’s eCommerce store, www.WHEELZLLC.com remains a popular online shopping experience for innovative golf car parts and accessories.
