The Five Most Important Questions to Ask a Potential Hotel Buyer
By Mike Handelsman Group General Manager, BizBuySell.com | July 31, 2011
Communication is a key to success in just about every aspect of life. So it only makes sense that when you're ready to sell your business -- a hotel you've poured your heart and soul into for countless years -- sound communication will again help you achieve your goal.
The sale of a business can be a long, drawn-out process. Most likely you've been preparing for this event for quite some time. The finances and paperwork are all in order, the hotel has received a nice sprucing up and you have a strong management team in place to take over the reins. As part of the process, you've probably also hired a business broker to assist you or even started listing the business for sale via online business-for-sale Web sites.
While your prep work is done, the most important part of the sale is just beginning. Once a buyer has contacted you, the real work begins. This is your legacy you're leaving behind, so it's up to you to make sure your hotel falls into the right hands.
This is where communication becomes essential. It would be foolish to just sit back and pick a buyer solely based on the financial elements of a written offer. Just as you've communicated with your staff to make sure every element of your business is run correctly, you must communicate with potential buyers to ensure the business transaction (and transition) will run smoothly.
The key, however, is knowing what questions to ask. With the right arsenal of queries, just a few minutes of effective conversation can quickly identify whether this is the right buyer for you.
Through the years at I've seen too many sellers waste time on offers that will simply never pan out. Many people may dream about being a hotel owner and contact you to ask questions, but there is no realistic intention of going through with a deal. Especially during these tough economic times, even those with serious intentions may not have the financial fortitude to get a deal done.