Market Report December 2015

(continued from page 2.) ...months. These buyers have likely been looking around the market for a little while now, generally know what they are looking for in business, and wish to capitalise on the improving coastal economy.Now is the time to sell, Verified Businesses is consistently dealing with good numbers of pre-qualified buyers across most sectors.These buyers are generally ready to purchase the right business when it comes along. The problem is, we haven’t always got enough quality businesses to fill this demand. Generally, those businesses with sustainable net profits of over $150-$200K p.a. for one working owner are in high demand right now, along with businesses that have moderate to low owner involvement and net profits of over $100K.Therefore, if you have a business to sell that matches this description,now is a great time to sell. Because as discussed previously, if business is well sought after at any level in the market by two or more buyers, then premium prices can be achieved. However, correct price positioning when a business hits the market for the first time is still crucial, as it can stifle new enquiry of ‘hot buyers’ who are ready to buy and are educated on the market, which is what we want to avoid as professional brokers.

There are many reasons why it’s a good time to sell during periods of low inflation, low wage growth, low capital growth and low interest