The retail sales world is very different from what it was twenty years ago.
Fewer Canadians are interested in becoming brick and mortar retailers.
This means that if you’re looking to sell your retail business, there may be fewer potential buyers for your business.
Many stores have adapted to meet new consumer needs like offering customizable offerings or private appointments to view inventory seen online.
Retail stores have changed, but are still very viable in 2024.
This also means that there are people interested in buying from your business, and attending the selling of a retail store sale event.
Selling your retail business is a complex process that takes a lot of time and effort.
If you’re wondering whether you should close or sell your business, Silverman Consulting and Retail Services can help.
We’ve been helping retail businesses like yours for more than thirty years.
Whether you plan to sell your store to an employee or a third party, we’re here to help you get the most out of your store.
RELATED: Frequently Asked Questions About Selling Your Retail Business
We’ll help you plan to tell your employees, keep your employees happy through the process, organize a store closing sale to liquidate your old stock, and more.
Now, keep reading to find out more about what it’s like to sell a retail business in 2024.
People Aren’t Starting As Many Businesses These Days
According to the BDC, people in Canada aren’t starting as many businesses as they used to.
What does this mean?
This means that more businesses are closing than there are new businesses to replace them.
That’s worrying because entrepreneurship and small business is an integral part of North America’s economy.
It fuels innovation and economic growth.
Even though Canada’s population has risen past 40 million as of October 2023, there are actually one hundred thousand fewer entrepreneurs than in 2003.
In the year 2000, there were three entrepreneurs per every thousand people.
In 2022, that number was reduce to 1.3 people out of every thousand people.
There are a number of factors that this decline is being attributed to.
Particularly a mix of high wages, low unemployment, a more complex business environment, and a generally aging population less inclined to take on the risk of starting a business.
The report by the BDC goes on highlight that one third of new businesses close within the first five years.
It’s difficult to be successful once you get your business off the ground if you don’t have the right skillset.
You’ll need a combination of:
- Operational skills
- Leadership ability
- Marketing expertise
- Financial understanding
- People and relationship management skills
- Grit
What Does This Mean For Selling Your Retail Business?
It’s fact that there are definitely fewer people interested in starting a new business.
Depending on the type of business you’re running, however, it’s still possible to find someone interested in buying you out.
So, while not impossible, it may be more difficult to sell a retail store in 2024 due to the decline in entrepreneurship.
Finding a buyer will be tough.
But there are other options for you to consider.
For one, even though there may be fewer people interested in buying your business, those that are will likely have a heightened interest in buying your retail store.
This is because, like we said above, it can be daunting to start your own business.
Those entrepreneurs willing to try may be interested in buying a pre-established business, like yours, to reduce the risk of starting completely from scratch.
Another option is to consider hiring a store closing sales consultant instead of selling your store.
They’re a great way to make some money as you wind down your business and move on to the next stage of your journey.
Keep reading to find out just how profitable a store closing sale can be.
Can A Store Closing Sale Be Profitable?
Absolutely!
A store closing sale can be the most profitable sale of your career.
And there are a variety of reasons why you might decide to go through with it.
Maybe it’s time for a change, for a multitude of reasons.
It could be slower.
You’re getting ready to retire and spend more time with your family.
RELATED: Retail Store Retirement Sale Consulting Firm
Maybe business has been slowing for the last couple of years, and it’s time to invest in a prospect that doesn’t have diminishing returns.
Or, it might be as simple as you just aren’t having fun any more.
When you start to feel this way, it might be time to plan your exit strategy.
Whatever your reason is for closing your retail business, you’ll want to exit with as much profit as possible, which is why it makes sense to have a store closing sale.
Now, to make the most profit out of your store closing sale, hire a professional who knows store closing best practices.
That’s where we, Silverman Consulting and Retail Services, come in.
A store closing sale is a complex project that requires precise planning and execution.
And, unlike other sales you have plenty of experience running, you’ll only get one chance to pull off a successful store closing sale.
If most of your energy went into the difficult decision of closing your business and figuring out what is next for you, you’re not going to have the focus to be at your best and successfully execute your store closing sale.
Especially because there’s more to closing a business than just organising a store closing sale.
At the same time as your sale, you’ll have to:
- Collect any outstanding receivables
- Pay outstanding debts
- Notify your suppliers and bank
- Finalize your commercial lease
- Pay your staff appropriate severance
- File the paperwork to formally close your business
This list just scratches the surface of what needs to happen when you’ve decided to close your business.
Let us take this off your plate and manage your store closing sale.
We have the experience to recommend tried and true strategies that will make the most sense for your business.
Our top rated industry tactics will liquidate your inventory and maximise your revenue, while protecting the reputation of your company.
It’s our job to help you make the most out of your store closing sale.
Bringing in more than 100% of your yearly revenue in a six to twelve week store closing sale event is not unusual if it’s professionally managed.
Contact Silverman Consulting And Retail Services Today
Contact Silverman Consulting and Retail Services today and speak to us if you’re thinking of closing your business anywhere in Canada.
Our initial phone call will focus on getting to know you and your business in order to determine the best course of action to help you meet your goals.
You can rest assured that our three decades of experience helping retail entrepreneurs will be at your disposal.
Contact Silverman Consulting And Retail Services today.
Silverman Consulting & Retail Services229 Yonge St suite 400,
Toronto, ON M5B 1N9, Canada
1 (888) 955-1069