As a new year begins, we have the chance to start anew and embrace fresh possibilities. It is a time when many people take a moment to reflect on the past year, regroup, and create resolutions to improve themselves in the upcoming year. These resolutions often focus on different aspects of life such as health, happiness, and career. If you plan on selling your HVAC business, beginning the process in January would be an excellent decision.
Just like everyone else, you may feel motivated to set goals and make significant changes in the new year. For those who are interested in buying a business, the countdown to midnight on New Year’s Eve may trigger their timeline to start looking. Some may even aim to complete the process before the end of the first quarter.
Entrepreneurs will have an added advantage in 2024 as the momentum of the new year will bring more confidence. The COVID-19 pandemic will be a thing of the past, and life will be back to normal. There will be no concern about lockdowns disrupting the business world as enough time would have passed to instill confidence once again. If you are considering selling your business, January might be the best time to do so. Here are four reasons why.
1. Increasing Interest Rates
Small business loan interest rates are currently at their highest and there is no indication that they will decrease anytime soon. In fact, they are more likely to increase than to decrease. So, buyers who are interested in taking out a loan for their business may want to consider locking in the current interest rates earlier in the year before they rise any further. This will allow them to have more buying power, as they will be able to afford a higher buying price. Additionally, there are various alternative lending sources available to buyers, which broadens the pool of prospective buyers who can get loan approval for financing.
2. Taxable Income
As it is still early in the year, it is likely that your taxable income is not much. If you sell your assets or investments early, it could be helpful in terms of taxes on the sale. Your trusted team can assist you with these details.
3. High Demand
Now that we have been living with the post-pandemic normalcy for over a year, entrepreneurs are ready to make significant moves. During the pandemic, many entrepreneurs had to put their plans on hold and save money. But now, there is a high demand to get back into the game and start investing again.
4. Available Jobs
For those who dream of becoming entrepreneurs, the new year presents an excellent opportunity to take the plunge. With a strong job market, assures that there will be work available if their plans don’t pan out. It’s much easier to take a risk when you have a dependable backup plan.
Many people often say that the best time to sell a company was five years ago. However, you should not let your fears hold you back from making that power move. You might regret it five years down the line if you don’t do it at the right time. The decision to sell your business can be tough to face, but if it’s time, you should consider doing it at the start of the new year.
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