Your exit plan is in place, business valuation is complete, marketing materials prepared, and your sale listing has been published. So why has there been so little interest in your business from potential buyers? Engagement on your listing is low, even though it’s been on the open market for weeks. You imagined people would be clamouring to buy your business. Could your asking price be scaring buyers away?
When buyers perceive your asking price to be unrealistic, it puts them off making contact. Price your business too high, and it could be judged as expensive and unattainable, too low, and it might set off warning bells or come across as desperate, leading to cheeky offers.
In this blog, we consider the factors involved in setting a business asking price on the open market, assess the pros and cons of different pricing options, plus the benefits of obtaining a professional business valuation.
Looking for a business valuation? Find out what your business is worth.
Perception plays a critical role in business value, and can be influenced by sector, size, audience and budget. For example, a buyer who is looking to purchase in a specific sector may perceive businesses in that sector to be worth more due to the potential value they represent to them.
Then there is the psychology of numbers. In the UK, we’re used to seeing goods priced at 99p because this price feels more manageable than £1. These days thanks to inflation, you’d be lucky to find anything in a shop at that price! The same rule of perception applies to business sales. Often, a business valued at £149k will be perceived as being more attractive than one priced at £150k.
A business priced at £150k may also tip into a higher pricing bracket in online searches, which can result in fewer clicks. Your pricing strategy should take into account your target audience as well as perceptions of price, so you don’t miss out on visibility.
Take a look at our current businesses for sale.
When our brokers support vendors to value and market their businesses, there are three common pricing strategies available:
Let’s look at the advantages and disadvantages of each.
Vendors that choose to be upfront about their asking price generally want to deter unrealistic buyers, and attract more genuine ones. In some circumstances, such as a quick or forced sale, being transparent about expectations of value can work in favour of the buyer. Selling due to retirement may also require you to be upfront in order to generate sufficient funds for the lifestyle you desire.
Most small business sales (sub £100k) tend to be listed with a clear asking price. Buyers at this level are likely to be working to a tight budget and prefer to filter online listings by price. In sectors in which value is based on common factors, such as IT services, asking price is almost always published.
A guide price will still attract genuine, interested buyers and may create healthy competition. Asking for offers around a specific figure could trigger offers over and above the guide price to secure the sale, however it may also lead to offers below the guide price.
Inviting buyers to make an offer demonstrates flexibility and a willingness to negotiate. It generates intrigue and interest, leading to competition and potentially increasing the value of bids. On the flip side, it could also deter serious buyers from making an enquiry. Some buyers will discount opportunities with no indicator of whether they can afford to buy.
Most businesses valued at over £500k tend to invite offers. These are more likely to be a B2B purchase and offers are based on perceived value, e.g. potential savings and profit. Equally, if your business does something remarkable, setting an asking price can make it appear expensive, so we would recommend inviting offers instead. Unique businesses shouldn’t have to justify an asking price in online listings. Those reasons should be discussed with genuine buyers during the negotiation process.
There are several factors that influence a vendor’s decision not to list a selling price:
Setting an asking price when selling your business may help avoid time-wasters and attract more realistic offers in line with expectations. Clear pricing could also make your business stand out and garner attention in online searches.
While some buyers are motivated by price and need to see this upfront, others are looking for different forms of value and are willing to make an offer. Profiling your ideal buyer can help you to decide whether to list an asking price. Going through this exercise with clients as we support their exit often enables us to target a shortlist of ideal buyers privately before moving to the open market.
Ultimately, it comes down to personal preference and gut feel. Is your ideal buyer’s decision to purchase driven by price, or are they willing to research and spend time exploring the opportunity?
Valuing a business is only straightforward in a handful of sectors, making it difficult for a business owner to determine a realistic sale price. Business valuations are based on several factors and methods, so it’s important to select the right approach. At Business Partnership, our brokers combine their individual knowledge with partner expertise to support vendors and buyers through the sale process. Obtaining a professional business valuation generates an achievable sale price, based on recent selling prices and an understanding of the current business sales market. We have brokers experienced in selling businesses in your sector and location. Find your local partner here and get in touch to find out how they can help
When selling a business, diverse customer and supplier portfolios are sought-after assets. Over-reliance on a few customers or suppliers is a major concern and makes buyers very wary. Businesses achieving the most profitable sales are ultra clear on their key customers and suppliers and what it means for future success. This understanding has become essential in our current economic climate.
In this post we explain why a varied client/supplier portfolio is a valuable business asset when selling your business, the benefits of building diversification, and some simple steps to help you get there.
From a client perspective, a diverse portfolio means your customer list comes from a variety of sectors, locations and industries. In the business-to-business world we focus on size and sector, while in business-to-customer scenarios its more about varying demographics and segments.
When we talk about suppliers, diversification is about building access to a range of resources and knowledge in different locations. For raw material suppliers, you also want to verify that your suppliers aren’t all dependent on a single source.
When we think of factors that drive business value, having a diverse customer and supplier base is one subject vendors and buyers can agree on. Diversity builds business resilience by reducing dependency on a single supplier or customer. It also generates stronger financial performance, which equates to a higher market valuation. Good news for vendors and buyers alike.
The more reliant your business is on one customer or supplier, the higher the risk. For example, if you rely on one delivery company to distribute your products and that company falls into difficulty, how would you continue to serve your customers? Diversification is part of good risk management strategy.
Buyers are looking to buy businesses with a diverse customer base and stable vendor relationships. Diversification creates flexibility and makes it easier to adapt and reach new markets in the future.
Are you too reliant on one or two customers for regular income? Do you spend too much with a single supplier? Take time to review and identify the biggest culprits and the risks they present.
Monitor customer activity over time to understand the average value and length of contract. Profile the type of customer you would like more of and create a marketing strategy to attract them and grow your portfolio.
Are customers asking for additional or complementary products and services? Could you adapt or improve your offer to attract a more varied customer mix and/or enter new markets?
Maintaining positive supplier relationships can lead to diversification opportunities. To stay competitive, keep existing suppliers close and be open to linking up with new providers.
You might think managing a diverse portfolio is time-consuming and admin-heavy. In fact, with the right processes and procedures in place it doesn’t have to be. A business broker can help you kick-start business growth and build value through diversification.
Diversification is an effective risk management strategy to protect your business and enhance market value. Business Partnership brokers have extensive experience working with vendors and buyers to identify opportunities to add value and reduce business risk. Find and make contact with your local broker here.
For vendors, branching out into new sectors and industries is a credible growth strategy you can pursue to increase business value. If this isn’t a road you intend to travel, you can still research the possibilities and pass this on as an attractive part of your sale package. Either way, it makes complete sense to analyse and expand your customer and supplier portfolio with a view to identifying gaps in the market and driving business growth.
When you’re selling a business, vendors have plenty of questions for prospective buyers. Perhaps the most loaded and important question of all is “Where will you get the funds to buy my business?”.
In a perfect world, every UK business acquisition would be a simple cash purchase, allowing the vendor to walk off into the sunset relinquishing all ties to their empire. In reality, this is far from the norm. Most business acquisition are funded through a combination of cash, loans and/or equity finance.
This is due, in part, to the weak UK economy, the high cost of borrowing, and limited investment opportunities for savers. A 2025 Bank of England report on business conditions reported weak mergers and acquisitions activity between July and September, concluding “Uncertainty, subdued demand, and financial constraints remain the main limiting factors on investment intentions.”
In this post, we discuss how vetting buyers financially can help you find the right fit for you and your business. We also explain the various funding options available to buyers, so you can enter into due diligence conversations with knowledge and confidence.
You’ve completed the difficult tasks of establishing how much your business is worth and demonstrated its value and potential growth to interested buyers. Several parties are interested. So what next? Vetting buyers financially is vital to choosing the right buyer for you and achieving a smooth business exit and transfer of ownership.
It is the vendor’s responsibility to find a buyer who is the right fit for the business, its employees, customers and suppliers. Finding a buyer with sound, secure financial backing is key. As a vendor you want to go into a sale agreement feeling confident your buyer has the financial means and capacity to close the deal.
Beyond financial capabilities, you also want to feel confident your buyer has an appropriate future vision. As well as requesting proof of funds, you should ask about the nature of their interest in your business, their aspirations and plans going forward. Do they have the financial backing to achieve them?
Failing to qualify a prospective buyer is one of the common pitfalls when selling a business. Financial vetting is part of the due diligence process and helps establish a good relationship between both parties. You have a right and responsibility to ask how a buyer plans to fund their acquisition of your business.
Every funding source has advantages and disadvantages. It is important to consider these fully when choosing your preferred buyer.
Read more about how inflation, interest rates, and financial uncertainty impact business sales.
Funding for business acquisitions is rarely straightforward. At the current time, most business sale agreements combine a mix of funding sources, e.g. personal savings plus vendor finance or deferred payments. Selecting the buyer with the most appropriate financing option is an important part of the due diligence and sale process.
Using a business broker to support you gives peace of mind. A broker will help you to understand and assess the funding sources a buyer is proposing, advise and propose alternatives, and ensure funding is above board and legally compliant. To choose the right buyer for your business, consider three important questions:
Having a business broker on your side during complex negotiations is a huge support. Our UK broker network has more than 45 years’ experience of buying and selling businesses. We’re here to answer your questions and set your mind at rest. If you would like to understand more about buyer finance and the right questions to ask during due diligence, find your local business broker or contact us and request a callback.
We’re operating in a business buyer’s market. This means vendors who are keen to sell their business must be prepared to do some legwork to find the right buyer and achieve the most profitable outcome. Identifying untapped business potential and possibilities for future growth is one tactic vendors are using to achieve a higher valuation and attract prospective buyers.
Identifying growth opportunities is not about creating additional work for your leadership team. You don’t have to create and execute a business development strategy in order to sell your business. The seed of an idea, a customer commitment, or detailed research could be enough to add significant value to your business in the eyes of a buyer.
Buyers are looking for strategies that will lead to sustainable business growth. If you plan to sell and exit your business this year, researching what that growth could look like is a good place to start.
Buyers perceive value in opportunities to scale a business, so keep this in mind as you carry out your research.
Consider existing customer feedback as a primary source of information about customer needs and wants. Analyse online reviews and feedback on social media for hints of challenges and problems customers would like your business to solve. For example, travellers tend to be very honest in their review of a hotel or accommodation, pointing out where their needs have not been met, which could highlight untapped potential.
Would your customers be responsive to a feedback survey (not all are)? If so, carefully worded questions could generate valuable suggestions for future products and services. And, if you change your mindset and look at customer complaints as an opportunity rather than a threat, they can be a goldmine for feedback.
If you sell online, take a look at your website analytics and identify which products/services are popular and not so popular. Which products or services are people searching for on your website, but perhaps not finding? Review other sales channels to understand whether there is potential to expand or enhance your product/service mix for your customer base.
Evolving markets can be a source of new opportunities. Stay flexible so your business is ready to respond to change.
We all have plans that we have shelved because we realised our team didn’t have the skill set or knowledge to deliver. Resurrecting these as part of your growth strategy could be attractive to a buyer who does.
Have an open conversation about your plans and float the idea of developing a long-term partnership – which may even become the source of new ownership.
Part of a broker’s role is to help vendors achieve the most profitable sale price for their business. If our initial valuation doesn’t match with yours, we can work with you to identify ways to increase value from the perspective of a buyer. Find your local business broker and ask how we can help.
Beyond current performance, buyers are looking for clear ways to scale the business, such as:
Clear gaps in the market: responses to customer challenges and pain points that may emerge from your research.
New untapped markets: look at market trends your competitors might already be exploiting and get yourself a piece of the pie. Expanding into overseas markets may also generate higher demand and profit.
New product lines: think complementary products and services, add-ons, upgrades and diversification to spread risk.
Digital upgrades: in software and systems may improve flexibility and responsiveness, and generate higher return on investment.
Subscription models: highly valued by buyers, avenues to generate regular income are sought after on the business sales market.
When you sell a residential or commercial property, one sure-fire way to increase its market value is to apply for planning permission to extend. There are several ways you can highlight potential business growth to buyers in a similar way.
Even if, under current ownership, you have no plans to pursue growth, identifying viable expansion paths and creating plans to highlight the business’s potential may justify a higher asking price.
Having determined the areas where a new owner may seek to scale the business, create a strategy documenting your ideas, research and potential for growth. Include agreements in principle with significant customers or suppliers, and evidence of predicted return on investment. Hand this to interested buyers to create interest, impress and excite them about the possibility of owning a company with scalable prospects.
To add value your business and achieve the most profitable sale price, follow our three steps:
Consult a Business Partnership broker to explore and identify untapped potential buyers find attractive. Complete our contact form to arrange a conversation.
As we head rapidly towards a new calendar year, you might well be considering the future of your business. 2025 has been a year of challenge and change. Despite this, it feels like the business market is on an upward trajectory. Here at Business Partnership, we are optimistic about the prospects for business owners who want to sell in 2026. Buying and scaling a business is still a viable business proposition and investment opportunity.
Several UK Start-Ups have been snapped up by big brands this year – Deliveroo, Lux Rewards and Peak.ai among them. The Autumn Budget wasn’t half as bad as the media suggested it would be. According to ONS data, the value of domestic mergers and acquisitions (UK companies acquiring other UK companies), between July to September 2025 totalled £5.3 billion – £1.9 billion higher than the previous quarter.
However positive the prospects, you might be thinking ‘do I really want to still be doing this next year’? Perhaps you’re approaching retirement, or you have health or family issues you need to prioritise. If this is your personal situation, you might feel under a little more pressure to make progress and get the ball rolling in 2026. Deciding to sell your business is a huge decision. Achieving both maximum profit, favourable terms and the best outcomes for everyone involved are always our objectives.
If you are looking to buy, there are plenty of profitable, stable businesses on the market with excellent growth potential. Take a look at our current listings.
Selling a business is never without its risks, so if you are thinking about selling in 2026, improving sellability should be your focus. Read on for some frequently asked questions and top tips to help prepare your strategy, make your business attractive to buyers, and put it in the best possible position to sell.
Start with your Why. Where do you see yourself having sold your business? What are your personal and financial goals from the sale? Keep these personal motivations in mind throughout what can be a long, drawn-out business sale process. In the case of joint or multiple owners, your individual Why’s could become a sticking point during negotiations. We recommend aligning expectations now to help you over the months to come.
It’s not unusual for a lone vendor to feel at a loss once they’ve sold, so make plans now to enjoy what comes next and prepare yourself mentally. Of course, selling your business doesn’t always mean you have to leave after signing on the dotted line. Many owners choose to remain in the business as a consultant or in another capacity under the terms of a deal.
You may feel ready to sell on a personal level, but if selling is something you have only been considering for a few weeks or months, there may be work ahead to prepare your business for sale. Business readiness activities include developing staff to step up and replace you, growing your customer base to add value to the bottom line, refining processes, and reviewing governance.
Write a list of all the positive attributes of your business and the reasons why a buyer might find these an attractive proposition. This will assist you in the future when positioning your business or negotiating the terms of a deal.
The first thing a buyer wants to see is up-to-date business records and robust record-keeping processes. We’ve lost count of the number of vendors who regret not maintaining business records prior to due diligence. If you want to prepare thoroughly, start reviewing key financial, commercial and people records before you engage in the sale process. It will speed up due diligence, eliminate errors, and showcase a well-managed business to interested buyers.
The second thing a buyer wants to see is no evidence of outstanding challenges or issues. Internal issues may cause problems in a future sale, so identifying and resolving these now will help reduce the risks for interested buyers. Think about key employees due to retire, contract negotiations, ongoing legal action or client/supplier disputes. Make sure to document every action to provide evidence during due diligence, if required.
The best way to prepare your business for sale and achieve the most profitable outcome is to identify the areas in which you might be able to add value. Recurring revenue streams, healthy cashflow, secure contracts, and a scalable business model are all attractive to buyers. If you’re not sure how or where to start, your local business broker can help you. Find yours here.
In 2025, deals continued the trend of taking between 6-12 months to complete, with some taking longer due to buyers’ cautiousness and the specific complexities of the sale. It is very much a business buyer’s market. To gain the upper hand, research whether businesses like yours are selling on the open market or to private buyers. Take time to understand the economic factors that affect a sale (e.g. interest rates, obtaining finance, regulation) to inform your decisions and optimise the timing of your sale.
From both a vendor and buyer perspective, tax implications are a consideration in every business sale, but they shouldn’t be the primary driver. Focus on increasing the quality of your business to attract a buyer, and you are more likely to receive offers that are higher than any tax you were looking to mitigate.
With more than 80 years’ combined experience between us, there’s not much Business Partnership brokers haven’t seen in the business sales market. You can trust our professionalism, discretion and nationwide connections to get your business sold. Take a look at our case studies for examples of successful deals across a variety of sectors.
Appointing a trusted business broker has a host of benefits. From reaching a realistic sale value and marketing your business through an extended network, to devising detailed deal structures, negotiating terms, and providing calm reassurance.
Get in touch to access our Business Partnership network of local, trusted business brokers to discuss options for selling your business in 2026.
Your partner has been begging you to take a break from work for months. But how can you? The business you have built relies on your knowledge, experience and resources to function. Its growth and profits are all tied to your personal input and achievements. Taking a holiday could jeopardise everything you’ve worked hard to create, couldn’t it?
If you believe you can’t step away from your business, even for the shortest amount of time, how will you ever be in a position to sell it? Businesses which are heavily reliant on their owner to function are much less valuable in the market. If you feel too tied to your business to take a break, it’s time to start making changes to allow your business to operate without you. If you don’t act now, your stubbornness could impact both your personal relationships and risk a future business sale.
In this blog we pull together four common owner objections to taking a break, and explain how to counteract them. As a helpful aside, if your partner has been nagging you to take a holiday, maybe you should share this with them too! It always helps to have someone supporting you through change. Failing that, contact your local business broker.
Apart from sounding a bit self-centred, this is categorically untrue. Your people are a valuable asset, in fact your employees are one of the most important factors when selling a business. Having an experienced team in place is often the biggest factor that makes a business stand out to prospective buyers.
There will be people in your team that you rely on and trust. Train them up, share your knowledge and keep building that trust until you feel confident to leave your business in their hands. Take them through the operational and financial management tasks you do that are so important.
If you don’t employ someone who could take over your responsibilities and allow you to step away, recruit a manager to fill that gap. Failing to do this could be putting your business at risk. You will never be able to take a relaxing holiday, let alone build sufficient value to sell your business. Can you afford not to explore the possibilities?
They key to this one is to create systems and processes your team can follow to manage the business in your absence. If something was to go wrong, they should be able to resolve the situation without you.
These days we are so well-connected through technology, it’s easier to take a break knowing you could get involved if you are really needed. Video calls, cloud-based systems and access to live data provide the comfort some of us need.
If you are genuinely concerned about something catastrophic happening whilst you’re away, start local. Choose a location from which you could travel to work, if needed. Test the waters with a long weekend and build yourself up to a longer stay. You’ll never look back!
Business leaders should be responsible for the high-level, strategic activities that will take your business to the next level. If you find yourself constantly involved in daily decision-making, firefighting or problem-solving minor issues, these are signs you need to delegate.
Before passing responsibilities to your management team, you first need to establish a robust business structure. Employees need to know who to turn to if they need help making a decision – not you! With careful planning and clear communication you can gradually hand over specific tasks and activities and free up time to take a break.
You can when you have a business broker who’s on your side. Selling your business can be a long and demanding process. Without the services of a business broker you can expect these effects to intensify.
Appointing an experienced, recommended business broker to facilitate your business sale means there is someone acting in your best interests whilst you are on holiday. Someone you can rely on to handle the due diligence requests and trust to answer buyers’ questions in your absence, and keep the deal moving. When you are entering into the business sale process, you may not ever imagine taking a holiday during such a critical period. Entering into a sale with a business broker by your side changes everything. You could be by the pool with a mojito before you can finish voicing your objections!
Taking a break from the business you have built should not impact negatively on business operations. With a skilled team in place, a robust structure, processes and clear communication, every business owner has the freedom to have a holiday. In fact, it is one of five ways to build value in your business.
Ask yourself which pieces are missing from your jigsaw?
Buyers want reassurance that your business can operate without you. So learn to take a break! If you crave freedom and are ready to sell your business, search for your local, friendly and experienced Business Partnership broker and ask how we can help.
We are all so used to being always-on and connected to our work, sometimes we forget the business benefits that come from taking a break. Improved health and wellbeing, time for reflection, planning and idea generation are some of the biggest.
The smartest business owners are already travelling the world, enjoying new experiences with their families, whilst their business grows and gains value in their absence. Don’t be the owner who is chained to their business forever. Step away and see what happens.
In the UK, July and August are traditionally slow months. Except for of the leisure and hospitality industry where the summer months are one of the busiest times of year, during school holidays colleagues are away, workloads become lighter, and the general pace of life calms down. When you have accepted an offer to sell your business, taking your foot off the gas is the last thing you want to do – at any time of year. Buyers and sellers alike would much prefer to keep the momentum going. Switching off is not an option.
Watching a business sale or purchase flatline can be frustrating, especially if you are working towards a personal deadline, e.g. retirement or a planned holiday. There may also be professional or commercial reasons why you would like the sale to continue apace, such as the need to relocate, expand, or attract new financial investment.
In this blog, we are going to explain some common reasons why a business sale may stall, and how appointing a business broker can help mitigate the risks.
There are many reasons why a business sale might slow down or stall. Issues may come to light through due diligence, external funding could fall through, and economic conditions can change causing financial uncertainty. For this post we will examine things from the human perspective. Let’s look at the people-related reasons why the sale of a business might lose momentum.
Where there is more than one director involved in running a business, each usually has an equal say in making decisions. This means when a director or managing partner goes on extended leave, important sale-related decisions cannot be made and progress may stall until they can be consulted.
While you cannot predict outcomes for every scenario, you can plan for this kind of situation before key decision makers take leave. Either agree on important decisions beforehand or empower the remaining director/s present to make decisions on behalf of the board. A business broker can add value by posing hypothetical ‘what if’ scenarios and recording the responses to inform future decisions.
Every professional has a lot on their plate. While your business sale might be your top priority, solicitors, accountants and other advisers all have their own agendas. Keeping everyone on track takes skill, sensitivity and experience.
When the professionals involved in a business sale revert to ‘go-slow’ mode, having a business broker on your side can be a godsend. Part of a broker’s role is to liaise with all parties and keep everyone on track to achieving the end goal. They will do all the legwork, enquiring about progress, prompting for responses, and maintaining the momentum, so every task is completed. Imagine how reassuring it would feel going away on holiday knowing that your business sale is in such safe hands.
Sadly, life throws a curveball every now and again, and business partners and decision makers sometimes get sick. You cannot plan for unexpected illness, but you can put the right structures in place to limit the impact of sickness on your business sale. Having up to date documentation, such as Shareholder Agreements and Articles of Association, should enable the remaining directors to make decisions in another director’s absence. In the most difficult circumstances, illness may dictate the need to speed up the sale process, in which case having a broker who is not emotionally involved, can be invaluable.
When key players in a business sale don’t see eye-to-eye, the sale process can lose momentum and trust between parties starts to erode. Arguments can easily arise over finance, e.g. who will pay for a survey to be carried out, or where one party feels the other is withholding important information. It’s not uncommon for larger boards of directors to disagree so much, they are unable to reach a consensus. When this happens, a business broker can step in to smooth the waters and calmly mediate matters to help everyone come to an agreement.
Similar to illness, big life events on both sides of the deal naturally divert people’s focus and attention, which may slow down business sale progress. Births, deaths and divorce have all been known to put the dampers on business sales. Our local business brokers have experienced every kind of life event and their impact on business sales, from a two-week delay for paternity leave, to the untimely death of a director jeopardising the sale. Without a business broker to advise and guide you, it can be difficult to know how, or even whether, to proceed in such circumstances.
At Business Partnership our business brokers are independent and impartial. We look after the interests of the buyer or seller who has appointed us and immerse ourselves in all aspects of the sale, keeping track of every tiny detail. Having access to this level of information helps maintain momentum whilst key people are on leave or unable to engage in negotiations and decision-making.
If we have clear instructions and are authorised to do so, we may act on behalf of our client, taking decisions whilst you take that family holiday or focus on maintaining business as usual. This means you can take the break you deserve and still be confident that your business sale is progressing in the background.
If you don’t want to see your business sale or purchase grind to an unexpected halt, appointing a business broker could be the right decision. Our fixed fee package offers peace of mind and reassurance that tackling any of the issues discussed in this blog is included in our service. Book a complimentary call with your local broker to talk through the process of selling or ask for help and advice if your business sale has lost its way.
It is imperative that you know, like and trust your broker, so you can work together to get your business sale or purchase over the line and in line with your objectives. Contact your nearest office and start the conversation today.
At Business Partnership we’ve entered the final stages of a 12-month rebranding project. It has been a huge endeavour with input from all our Partners, and includes implementation of a new CRM system that integrates with our website. The upgrade will improve the quality of data gathering and analytics to give us more information and create efficiencies to help us better serve our clients. We also realise updating our brand will add value in other ways.
The reason we embarked on the project was our brand was in need of a refresh. When business branding appears dated, it can come across to an outsider as being lax and stuck in its ways, while a fresh new look can enhance people’s perceptions, moving it from irrelevant to current. From a business broker perspective, we know for a fact that updating your branding can add significant value to the sale price of a business.
Building a trustworthy, reputable brand could be invaluable should you decide to sell your business. In this post we explain how branding contributes to business value, how much a strong brand could be worth in financial terms, and share some key points to consider when tackling a rebranding project, based on our own experiences.
Positive brand perception is a valuable business asset. Creating an emotional and personal connection with your brand inspires trust, loyalty and repeat purchasing decisions. A consistent brand experience throughout every stage of the customer journey is something every business should strive to achieve. Here’s why…
A strong business brand:
When valuing a business, your brand counts as an intangible business asset, similar to things like trademarks, intellectual property, and strength of client/supplier relationships. According to Forbes, brand contributes between 5% and 13% of overall market value, and if you have a strong brand this equates to anywhere from 9-28% higher revenue growth. Above all, your brand reflects your reputation and the quality of connection with your customers. A robust, up-to-date brand can be highly attractive to potential buyers.
When you look at the value of global brands such as Nike, Coca-Cola and Apple, it’s quite easy to understand the value a strong brand adds to a business. Take Apple for instance, millions of people across the world trust the Apple brand to keep them connected. Many choose Apple devices for their quality, reliability and durability. The company’s vast technical knowledge and investment into research and development are also held in high esteem. For these reasons people don’t think twice about sharing their most personal data with the company.
The inherent strength of the Apple brand has created one of the world’s most loyal customer followings. Fans are willing to pay over the odds to own the latest version of phone, watch or computer with its technical wizardry and wonder.
Brand reputation is more than updating a logo, it is built over time. This is why switched-on business owners look to invest in brand development long before they decide to sell. Our advice is to take a long-term view and weigh up the potential returns on investment. What are the costs and benefits of refreshing your brand now versus leaving the job for a new business owner? For more advice on this subject, talk to your local business broker. You may also find these tips for selling a business in 2025 helpful.
Rebranding is no quick fix. You can’t push a button to make everything change (believe us, we know!). While it’s drummed into us to have a consistent brand and messaging across all our marketing, individual channels are rarely connected. For example, your website is a separate entity to social media platforms, and every item requires a different file type, format, or size of logo. Here are some other helpful points to consider:
By investing in your brand you are taking positive steps to grow your customer base, increase revenue, and create a loyal following that could become a valuable business asset. Whether to invest prior to selling is a conundrum best talked through with a business broker. With expert industry knowledge and free valuations, you can trust us to put the interests of you and your business first. Find your local Business Partnership broker here.
“I’ve agreed a selling price for my business. What happens next?”
It takes a lot of behind-the-scenes effort and expertise to value and bring a business to market. You’ve already been through this and the negotiation phase, having found a buyer with genuine interest and agreed on a price. Once you reach this stage, you might feel relieved the sale is almost over, however that’s when the real skilled work begins.
The weeks and months following an agreement to sell your business can be demanding and stressful. In this blog, we’ll explain the three key stages that take place following agreement of a business sale price, touching on due diligence, Heads of Terms, contracts, and solicitor involvement.
The process of buying and selling a business is complex. It can be difficult to know where to start. Our clients tell us that having a business broker by your side is a huge support and helps you achieve your desired outcome. Here’s how we can help.
When a buyer agrees to purchase a business, they will instruct their legal representatives and business analysts to investigate every last detail of the sale. And rightly so. Paid professionals have a duty of care to ensure buying the business is a good decision. They want to achieve the best deal structure and get value for money for their client. For the business owner this brings a level of intensity and scrutiny they may never have experienced, especially if the sale involves significant assets, business premises and staff.
Once a verbal agreement has been reached, the first step is to draw up the Heads of Terms (HoT) agreement. This sets out the terms of agreement between all parties involved in the sale of the business. Usually drawn up by the vendor’s business broker, it is signed by buyer/s and vendor/s, it is then sent to both solicitors so they understand the early details of what has been agreed in the sale. The Heads of Terms may also be copied to both accountants and the landlord (if property is being included in the deal). It is an offer in principle but subject to the due diligence process.
While the finer details of the sale may evolve as due diligence is carried out and completed, the Heads of Terms will remain a valuable summary of commitment and should be used as a tool to guide necessary re-negotiations that due diligence may expose, as well as creation of the final contract agreement.
A Memo of Sale is a reference document which outlines the names and contact details of everyone involved in the sale and purchase of the business. Created at the same time as the HoT, it would usually include the buyer, vendor, accountants, solicitors, landlord, and business broker/s. The Memo of Sale is then circulated to all parties to facilitate good communication throughout the sale.
NB. If you’re reading this in the USA, you may know the Memo of Sale as a document linked to the sales particulars and marketing of a business.
At this point, whether to take your business off the market is your choice. Some vendors prefer to keep it on the open market until the final contract has been signed. Sometimes removing it from the open market is one of the terms stipulated by the buyer.
The third step is to draw up a contract of sale (often referred to as the Sale and Purchase Agreement or SPA for short), which triggers the start of the due diligence process. In a Goodwill & Assets Sale, this is usually done by the vendor’s solicitor. In a Share Sale, this is usually done by the buyer’s solicitor. The buyer and their team will require access to key financial, legal, operational, customer and employee information, which they will scrutinise to build a complete picture of business health and value.
Due diligence can sometimes feel like a game of ping-pong, batting requests and responses between you until all parties are happy and the original offer in principle has been confirmed. Having a broker by your side during this phase can be a huge support, releasing you to maintain business as usual whilst your broker assists with information requests.
In our experience, solicitors and legal advisers will always be cautious in the advice they offer, whereas a broker is much more down-to-earth and realistic. After all, they are drawing on years of commercial experience buying and selling businesses. So, when that 10-year non-compete clause lands in your inbox, your broker is there to negotiate it down on your behalf, without exposing either side to undue risk.
Further guidance on what due diligence you should do when buying a business.
Even after the final contract agreement has been signed, there is no time to sit back and relax. There are actions that need to be planned and aligned to complete at the same time, from the bank releasing funds to the handover of systems and business premises. It’s crucial to never lose sight of the last pieces of the jigsaw if you want the sale to complete within the agreed timescale.
External factors can also affect the timing of a sale, for example legislation. Changes to Capital Gains Tax bands in 2024 impacted several business sales we supported. Meticulous planning from our business brokers enabled sales to reach completion in advance of the deadline.
A reliable Business Broker is the vendor and buyer’s voice of reason before, during and after a sale price has been agreed in principle. Find your local broker here. We can work with you before you put your business on the market and act on your behalf to guide and oversee business sale proceedings through to completion, getting the best possible deal for our client. Appointing a business broker is easy and can put you in a position of advantage. Get in touch to find out what your business is worth in today’s marketplace.
As we enter a new tax year, financial uncertainty is a hot topic of discussion between our business brokers and their clients. The question we’re being asked most is ‘What impact will the UK National Living Wage and Employer’s National Insurance increases have on the sale value of my business?’.
The uncertainty created by economic and political factors is a genuine and valid concern for owners selling their business. External influences can affect market conditions and reduce buyer confidence. Look at what’s happened to share prices in the aftermath of the Trump Tariff announcement. The global markets are reeling. The result of uncertainty in financial markets is a more cautious and demanding buyer.
In this blog we share the steps to take to plan for the impact of financial change and uncertainty on your business sale, how to calculate the potential impact and present this information to maintain buyer confidence.
Every business experiences expected and unexpected challenges in its lifetime. Losing your biggest customer or a major new competitor in the market would be unexpected. The planned increase in National Living Wage or tax is not. The latter is a significant change for businesses which employ staff. However, you can forecast and plan for some financial changes to prevent them devaluing your business.
Of course, external factors can influence business value positively and negatively. Valuations are made at a specific point in time. No business valuation is set in stone and most are open to negotiation. So while we are focusing on the consequences of rising costs in this post, financial uncertainty can have positive impacts too.
A business broker will do their utmost to foresee challenges and guide you to prepare for the sale process, but not every challenge can be anticipated. Staying on top of your numbers and keeping your financial forecasts up to date will help you to navigate change. Thorough, accurate and detailed forecasting is essential.
For a current market business valuation, contact your local business broker.
Since the changes were announced in November 2024, we’ve been advising vendors to recalculate their financial forecasts based on the new National Living Wage and Employer’s National Insurance rates effective from April 2025.
Buyers are asking for an outline of how a business will cover these rising costs. Will you pass the increase on to customers, plan to curb recruitment, make redundancies, or can you cover it from profits?
Accurate and detailed financial forecasting is crucial when selling a business as a buyer wants to know the business they are investing in is on a sound footing – now and in the future. Building an honest picture of where your business will stand financially at the end of this year, next year, and beyond builds buyer confidence. It shows you are on top of your numbers and have considered different external scenarios and their possible impacts.
Buyers will analyse your forecasting to understand the risks the business will face and for future growth, business planning, budgeting and recruitment. They need those figures to make a considered valuation, and if they decide it’s a good investment decision, anticipate any tough choices that lie ahead.
Vendors should consider these four themes when preparing and presenting financial forecasts to prospective buyers.
The way you present your business for sale is important. Every business vendor must make sure their financial forecasts are fit for purpose. You cannot prepare the forecasts prior to listing your business on the market and then forget about them. As economic conditions change, you should be reviewing and refreshing your financial forecasts to show potential buyers exactly how you stack up against the competition. It’s part of risk management and protecting your business during the sales process. In fact, the future of your business, and your own future plans, depend on it.
If financial forecasting and modelling is not your strong suit, your local Business Partnership broker can advise on the kind of financial documentation a buyer will expect to see. Find your local expert here. We help our clients handle every aspect of their sale or purchase, from valuation and finding your ideal buyer to supporting the sales process through to completion.
Whether you’re selling, buying, or planning for the future, Business Partnership is here to help. Contact us today to speak with your local Regional Partner and start your journey toward success.