Are you gearing up to sell a business?

Selling a business is a tedious process that you must navigate carefully to maximize profit and minimize tax losses. There are a number of pitfalls you must avoid, and myriad factors to consider that will impact your bottom line. That’s why it’s so important to hire a team of trustworthy financial advisors when selling your business. Continue reading to learn more about the benefits of working with our experienced team of financial advisors.

Planning a Tax-Efficient Exit Strategy

TrueNorth Wealth’s financial advisors work closely with you to minimize the IRS’s cut on your sale of a business. The key here is to allocate as much of your company’s value as possible into your tangible business assets. Asset sales are considered capital gains, which means they are taxed at a lower rate than your standard income.

Your team of financial advisors will determine the most tax-efficient valuation of your business by assessing your cash flow, earnings, growth rate, leverage, liquidity, and ultimately, the overall health of the business operation.

Two business people reviewing the benefits of selling a business and smiling happily.

Keeping Employees in the Loop & Establishing a Compensation Plan

It is vital to keep employees in the loop when selling your business. Our financial advisors will help you work out an incentive-based compensation plan to ensure your business maintains its value during the lengthy transaction process. When employees are caught off guard by a sudden sale of the business, it could cause several problems; It could be a distraction that hampers productivity, or your employees may take it personally and either quit or demand excessive closing bonuses. The bottom line is, you want things to run like business as usual, if not better.

Do’s and Do Not’s To Consider When Selling a Business

The specifics of these tips will vary from person to person, depending on your circumstances and wealth management objectives. Nevertheless, the points listed below are vital factors everyone should heed before starting negotiations with potential buyers.


  • Consult with advisors.
  • Assess financial goals.
  • Notify employees.
  • Practice due diligence.
  • Assess market conditions.

Do Not’s

  • Do it alone.
  • Lose focus of objective.
  • Keep staff in the dark.
  • Overestimate value.
  • Neglect market conditions.

Ready to Start Planning?

If you are ready to initiate the arduous planning process, make sure you seek the assistance of TrueNorth Wealth’s proven team of financial advisors. From income tax planning to prepping your business for mergers and acquisitions, we are the top team of financial advisors because, unlike many competitors, we work with you on a fee-only basis. Commission-based firms earn revenue by selling financial products and services for third parties, in return for commission on the sale. We operate on a fee-only basis because we don’t want our clients to be uncertain about our motivations for each recommendation. Our revenue depends on your growth, and nothing else. So, if you are ready to start assessing your business and find a suitable seller, look no further than TrueNorth Wealth. Contact us at your earliest convenience to learn more about our financial advisory services.