How do you sell a failing business?
Before you get down in the dumps, stay positive because you built a business which is not easy and perhaps value exists that you don’t realize. Are you failing because you invested too much up front, don’t have positive cash flow, aren’t running optimally, are in a partnership dispute, or is it something else? Businesses do fail in that is a reality, but generally there is something there that is worth something. It might be the intellectual property, perhaps assets that exist, or perhaps you have a lease in a good location that someone might want. Dissect your business and put together a list of everything that has value. If you didn’t have any debt would the business be profitable? Perhaps the business as it stands today is failing but perhaps if the debt was wiped out and a well capitalized buyer came in there is more value.
Often times a failing business can be successful business but just needs the right operator. Consult with a business broker and be fully transparent about all the good and all the bad and get an opinion of value. They will tell you what they think. If you don’t like what the first business broker you talk to says, talk to a couple more. Don’t go with the broker that tells you what you want to hear but go with one that you truly believe can sell the business at a realistic price.