The time it takes to sell a small or medium-sized enterprise (SME) in Australia can vary depending on various factors such as the industry, the company's financial health, market conditions and the complexity of the transaction. While it's difficult to provide an exact timeframe, SOT Business Brokers can give you a general overview of the process.

If you are looking to sell your SME, this blog is perfect for you. In this article, we will discuss the 5 steps to selling an SME in Australia and how long each step will take.

1. Preparation and Valuation

Before selling your SME, it's essential to prepare the business for sale. This involves getting your financial records in order, conducting a business valuation or appraisal, and identifying any areas that need improvement. The duration of this stage depends on the initial state of your business and how quickly you can gather the necessary information.

2. Finding a Buyer

The time it takes to find a suitable buyer can also vary. It involves advertising the business for sale in Perth and often working with a business broker. The duration can depend on the demand for businesses in your industry and the attractiveness of your SME.

3. Negotiations and Due Diligence

Once a potential buyer has been found, negotiations begin. This stage involves discussing the terms of the sale, including price, payment structure, and any contingencies. Additionally, the buyer will likely conduct due diligence, thoroughly reviewing the business's financials, operations, legal matters, and other relevant aspects.

The duration of negotiations and due diligence can range from a few weeks to several months, depending on the complexity of the deal and the cooperation between both parties. SOT Perth Business Brokers work hard to ensure this process is as stress-free as possible and to ensure that all parties secure a positive outcome.

4. Contract Preparation and Legal Processes

After reaching an agreement, the next step involves drafting the sale contract and completing any necessary legal processes. This may include obtaining regulatory approvals, transferring licenses, and addressing any outstanding legal or compliance issues. The duration can vary depending on the complexity of the transaction and the efficiency of the legal processes involved. SOT Business Brokers guide buyers and sellers throughout this process as it can often be overwhelming.

5. Completion and Transition

Once the contract is finalised, the sale proceeds to the completion stage. This involves transferring ownership, assets, and liabilities to the buyer. Additionally, there is often a transitional period where the seller assists the buyer with the handover and ensures a smooth transition of operations. The duration of completion and transition can vary but is typically a few weeks.

Overall, the process of selling an SME in Australia can take anywhere from a few months to a year or more, depending on the specific circumstances. However, the average sale time across Australia for an SME is 6-9 months. The highly experienced team at SOT Business Brokers Perth are here to assist you through every step of the process.

SOT Perth Business Brokers

Looking to list a business for sale in Perth? SOT business brokers are experienced in every aspect of the Perth business sales market.

The Perth business sales process is made as quick and easy as possible with the help of the experienced SOT Perth Business Brokers team.

SOT can also help your small or medium-sized enterprise grow. SOT can better position your business for success using its wide network and in-depth knowledge of the Perth business market.