Is now the time to sell my business?

We are often asked: ‘Is now the right time to sell my business?’

Despite a relative slowdown in M&A activity in 2023 due to a range of economic challenges, including high inflation and elevated interest rates, this year we have seen headwinds ease and, for us, the market is
looking increasingly buoyant.

The new Labour government appears to be offering political stability, inflation is at or around 2 per cent and interest rates have begun to reduce, suggesting investor and trade buyer appetite will soon return, especially in the context of international M&A where interest in UK acquisitions remains strong.

A potential concern is the rumoured increase to Capital Gains Tax (CGT)
which could be announced in the Autumn Budget.

Currently, there is a high perceived risk that the government will increase these rates and the effect could be significant for owners looking to exit, due to the increased risk of a mismatch between buyer and seller price expectations that a CGT increase will create.

If you are considering selling your business, we can confidently say
that good businesses are still selling for good prices, despite lingering
market uncertainty - there is nothing in the current political or economic environment to prevent you achieving the sale you have worked hard to achieve.

If now is the right time for you, speak to a corporate finance adviser, talk through your plans, let them absorb the emotion that comes with starting the journey of a business sale… while you look forward and make plans for the future.