Deciding whether, when and for how much to SELL a Security Guard business that you’ve been building up over a period of decades has both financial and emotional ramifications. There is no doubt, you have your own opinions about how to SELL your business. What is worth and how to go about negotiating the sale? And that’s fine – you should. This could potentially be the most consequential transaction in which you will ever participate.
Still think You Want to Sell Your Security Guard Company?
Selling could be hard. I would encourage getting a second sentiment – by acquiring a learned intermediary with expertise in the Security Guard Business. It could almost guarantee you don’t leave cash on the table as you’re leaving with your check. In the wake of buckling down to develop your organization for 25 or 30 years and making it fruitful, you would prefer not to simply SELL you Security Guard Business and wind up kicking yourself in the back as you leave since you’re encountering merchant’s regret after it occurs to you that sold yourself short.
A broker can bring the sophisticated knowledge of the current marketplace to the table. The multiples involved and valuations of Security Guard Companies, as well as whom the potential landscape of buyers are. Also, which ones would be the best to consider for your particular sale. Too often, owners of Small to Medium Security Guard Companies take the first offer that comes their way because, HEY, it sounds pretty good right? Not if you haven’t done a market check, which the larger company probably has done already. A broker can protect you from being outsmarted.
Don’t Settle for Less. Sell it for What it’s Worth!!!
In addition, a third-party broker can act as a buffer between the buyer and seller. This helps to keep greater confidentiality about the business before the transaction is consummated. The seller understandably is going to be reluctant to tell a potential buyer about the details of their businesses. Specifically potential confidential information such as the types of accounts and profitability.
Brokers know from experience which cards to put on the table and which ones to hold closer to the security vest. And they act as a confidante for the seller, laying out the picture and the story to the potential buyer in the most appealing possible way.
A broker intermediary can also be a voice of reason for a seller, who understandably has an emotional investment in his or her company in addition to the financial stake. After growing a Security Guard Business for a quarter-century, it’s easy to get caught up in the emotions of the moment, not act rationally and not end up receiving full value for the SELL. Someone who can take a third-party, objective view will help you avoid such an outcome.
You Should Seek Proper Help for Your SELL!!!
When choosing a broker, try to hire a professional that worked in the Security Guard Industry. But also has managed a large operation. It is nice to have someone who has been on both sides of the acquisition process, and is a certified public accountant.
Lastly, rest assured that the fee you pay a broker is going to be recouped many times over. In my opinion, it’s small compared to the value you will gain. A broker with expertise in the security industry will know how to get the best price for their sellers. A broker gets you a much higher price than you would if you went into the process on your own. Attempting to represent yourself in these transactions might be penny-wise, but it’s definitely dollar-foolish.
About Security ProAdvisors and Keith Oringer
Founded in 2015 by Keith Oringer, Security ProAdvisors offers advisory, consulting, and brokerage services to the security guard industry and has an extensive network of former chief financial officers, controllers, and operating executives all of whom have worked in the security guard industry.
Keith is a security executive with 27 years of experience with extensive experience in the acquisition of companies and valuation. He was the third employee of a national company and was instrumental in building the company over 20 years to over a billion dollars and 46,000 employees and the president of a $100 million business unit. Keith holds both a CPA and MBA in finance.
For more information on Keith Oringer and Security ProAdvisors and to see recent transactions, please visit our website at www.securityproadvisors.com
