If a customer were to walk into your shop claiming to have a baseball signed by Joe DiMaggio, you wouldn’t think of giving him or her a loan without first seeing a letter of authenticity. You would also assess the baseball’s attributes. Does it have inscriptions that add to the value? Is there a personal inscription, such as, “Best of luck, Burt,” or, “Knock it out of the park, Billy?” Did Joe sign the ball, “Joltin’ Joe?” You would make sure you knew the baseball’s worth before making the customer an offer or completing a transaction.
When you’re ready to sell your pawn shop or shops, essentially, you become the customer. You have to know what your business is worth and be able to offer proof that backs up your claims. You can have the most valuable independent pawn business in the country, but you won’t get what it’s worth from the national pawn shop buyers if you don’t have your financial information in order and haven’t properly assessed your business’s tangible and intangible assets.
A baseball signed by The Yankee Clipper can go for half of what it’s worth when a letter of authenticity doesn’t accompany it. Your pawn business needs to be “authenticated,” too, or you could miss out on thousands, or even millions, of dollars that you could have and should have gotten.
Uncovering what your business is really worth may be a pain, but let’s face it: a much bigger pain is finding out later that you got convinced to sell your business for less simply because you hadn’t used the right financial methodologies to come up with numbers that accurately reflected its value.
Stallcup Group can help you determine your business’s true value, put the right data in your hands, and walk you through every step of the closing process. We give you all of the information you need to prove your business’s worth and force multiple buyers to make competing offers based on a base price that you set rather than on their own pricing models. In other words, we put you in a position of power. When it comes to negotiations, would you really want to be in any other position?
Share