Mr. Handelsman

Social Media & PR

How to Leverage Social Networks to Help Sell Your Hotel

By Mike Handelsman, Group General Manager, BizBuySell.com

These days the term “social networking” is everywhere. People across industries and locations are turning to communities – both online and offline – for help with everything from finding a job to discussing personal interests and hobbies, to just seeking advice. While social networking seems to have become universally popular, most individuals still haven’t tapped into the benefits it can offer when selling a business. Have you been thinking of putting your hotel on the market? Then you won’t want to underestimate the power of social networking to help you through the process and increase your chances of a quick, successful sale. There is a wealth of information out there that can help you succeed. If you put in the time and effort to leverage these networks it can pay off in spades. Here are some of the most useful resources to keep in mind:

Take Advantage of Small Business Organizations

When selling any type of small business, some of the most helpful resources available to you are organizations designed to guide sellers through the various stages and challenges of owning a business. It’s no secret that selling a business can be a difficult task, but these types of groups are ready and willing to assist.

SCORE, “The Counselors of America’s Small Business Owners,” (www.score.org) has 364 chapters across the U.S. that can connect area business owners to personal business coaches for guidance. The organization thrives on the efforts of volunteers, so its services are free and confidential. In many cases, there’s no better assistance than that of someone who has been in the same shoes and can advise you based on their experiences. In addition to these personal coaches, SCORE offers free online workshops and advice articles, which can also be incredibly useful throughout the process. The following SCORE article, for example, outlines 12 crucial steps to selling a small business: http://www.score.org/sell_business_12_steps.html.

In addition, don’t forget that the United States Small Business Administration (SBA) offers resources specifically aimed at guiding business owners through the selling process. The first place to turn is the section on the SBA’s Web site devoted to critical information you need to know about selling, such as an overview on seller financing, key information for sales agreements, business pricing techniques and methods for locating buyers. You can view these resources at:
http://www.sba.gov/smallbusinessplanner/exit/sellyourbusiness/index.html.

Use Social Networking Sites & Online Communities

Twitter, one of the fastest-growing social networking Web sites, can be a very valuable source for business sellers. There are plenty of knowledgeable entrepreneurs using the site, including hotel business owners who are interested in discussing everything related to being a business owner, including the selling process. Oftentimes, a Twitter user with a targeted list of “followers” can “tweet” a specific question – “Best advice for a first time business seller?,” for example – and members of their network reply with their insight. This can be a quick and helpful way to gain advice about selling, but don’t forget about keeping things confidential – you’ll probably want to refrain from using your full name and business details if you are asking for advice on selling.

Additional social networking sites such as LinkedIn and Facebook can also serve as excellent tools. There are plenty of targeted groups and forums on these sites as well as current and former businesses owners who are willing to offer their insights.

Sites such as www.smallbiztrends.com and www.allbusiness.com can be useful for networking in that they not only provide informational small business-related articles, they also offer the opportunity to comment on various related issues – including selling a business – to strike up conversations with fellow entrepreneurs. These types of sites generally have very targeted, knowledgeable audiences, so leaving comments and getting involved in discussions on them could connect you with fellow business owners who have great advice to share.

At BizBuySell.com, we recently launched a free online community for both business sellers and buyers to connect and post their questions and advice related to the process. The community is at http://www.bizbuysell.com/small-business-community/ , and there you can not only find general information on selling a business, but also queries specific to the lodging industry. The community allows you to narrow down the topics by industry as well as location so that you can find information applicable to your specific situation. For example, interested buyers have posted to the community stating that they are interested in purchasing a hotel in a specific area, and these types of queries can turn into very valuable leads for relevant sellers.

Once you get involved in these communities, remember that what you get out of them tends to relate directly to what you put in. The more involved you become, the more you’ll likely find people are willing to help. For that reason, you might want to determine the one or two online communities you find most helpful and concentrate on using them so you can establish strong connections and reap the greatest amount of benefits.

Tap into Your Contact List

While online networking and free small business resource organizations are crucial, it’s also important not to forget about your own personal network. As a hotel owner, you most likely know fellow entrepreneurs who have sold establishments at some point. Having a casual conversation with these individuals about how they handled the process can be invaluable, especially if you are a first-time seller. There is perhaps no better advice than that of a friend or close acquaintance who you know has your best interests in mind and can speak from experience. If you don’t know anyone who has specifically been through the selling process, ask your contacts if they know of anyone. You’ll find that most of the time when you request help from these individuals, they’ll be more than willing to provide it.

Here are some key questions to ask these contacts:

• What was the most important decision you made throughout the process of selling your business?
  
• What are some mistakes you made during the process of selling your business that you wish you could have avoided?
  
• Did you use a broker to sell your business? Were you satisfied with their services? If so, can you refer me to them?
  
• What were the most important questions to ask potential buyers of the business?
• What steps did you take to ensure the books were in order before selling? How far in advance did you do this?
  
• What specific resources did you use during the process of selling your business?
  
• How did you know you were ready to sell your business?

Selling a hotel can be a difficult process, but it’s important to always remember that there are resources available to make it easier, including these types of communities and organizations. Even if you’re not planning on selling anytime soon, but have other questions related to running the business, you should not hesitate to leverage these types of social connections – they’re some of the most powerful tools available to entrepreneurs.

Mike Handelsman is Group General Manager for BizBuySell.com and BizQuest.com, the Internet's two largest and most heavily trafficked business-for-sale marketplaces. Both sites feature business valuation tools that draw from the largest databases of sales comparables for recently sold small businesses and include two of the industry's leading franchise directories. Since 1995, BizBuySell and BizQuest have offered tools that make it easy for business owners and brokers to sell a business and for potential buyers to find the perfect business. Together, BizBuySell and BizQuest list more than 75,000 businesses for sale at any time and have over 850,000 monthly visits. Mr. Handelsman can be contacted at 415-284-4390 or mhandelsman@BizBuySell.com Extended Bio...

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