Posted by: bizsale | May 19, 2009

Sign it is time to sell your business #6: inability to meet customer demand

There are a variety of conditions that may indicate that it is a good time to contact a business broker to explore exit strategies. This blog post is part of a series about signs or indicators that it may be time to consider a business sale or exit.

Sign it is time to sell your business #6: inability to meet customer demand

If you’ve been reading this series of blog posts you will notice that this “sign it is time to sell” is related to the past couple of postings.  If you are turning away customers, late in delivering products and services due to lack of capacity, or simply not marketing your business because you have more business than you can handle then it is time to give serious thought to whether it may be an appropriate time to sell.  

A business that is turning away customers may be seen as a huge opportunity for a buyer who may be willing to make the financial investment, staff up, add space and machinery, etc. that you have been unwilling to do.  If you are experiencing a lack of capacity and choose not to sell the business,  but don’t remedy your ability to meet customer demand, then you risk an eventual loss of customers due to dissatisfaction and are inviting an aggressive competitor to enter your marketplace to meet the unsatisfied demand.  


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