Given that business is all about making money, you want to ensure you get the most money you can when you sell yours. After all, you'll be kicking yourself later down the line if you find out that you could have sold the company for a lot more than you did. Here are 3 things you need to consider when selling your business if you want to maximise your profits from the sale.

Don't Undervalue the Business

One of the most common mistakes business owners make is undervaluing their company before selling it. The first thing you need to do is account for any assets your business has, including property. You should also think about intangible assets like how well you fare against competitors. For example, if your business is a household name and operates on a large piece of land, it's worth more than another business that has the same profits but lacks those assets. It's often best to get a professional valuation if you're unsure of how to proceed from there. If you feel confident to price the business yourself, remember that value is often calculated by multiplying the business' earnings by a certain figure. Research what that figure is for other businesses in your industry, and don't forget to take those assets into account. 

Pick the Right Time

You need to think about the current economic climate when you sell your business. If you sell when the financial world is in crisis, you may have to sell well below your asking price. Make sure you follow financial and business news (either in trade magazines, newspapers, or online) to make sure there'll be a healthy appetite for your sale. You'll want to look at factors like currency values and market trends. If your business is currently profitable and you're able to continue running it, don't rush to sell it before the time is right. It's better to bide your time and get the full amount you're looking for.

Hire a Tax Accountant

When you sell an Australian business, you may be liable to pay capital gains tax or goods and services tax. This usually happens if you're selling assets like land or licences. Getting hit with unexpected taxes can crush the profits you make when you sell your business, so it's important to get advice and planning services from a tax accountant. They'll be able to figure out a strategy that maximises your profits, and help you get your tax records in order.