How to Sell a Real Estate Business

If you are planning to sell your real estate business, you have to take into account many things including the goodwill of your business, tax considerations, value of the tangible assets and amount of liabilities. There are many ways of selling your business. You may think that selling your business on cash will be the best option for you. However, you will get lesser amount for your business if you sell it on cash as compared to selling it on fixed instalments. Besides, you can also transfer your business to any of your family member as a gift.


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    You can sell your real estate business upfront on cash. It is usually considered as the best way of selling business as you get all you money right away and handover your business to the buyer. However, it is very hard to find potential buyers who are willing to buy your business on cash which eventually lowers its value. Furthermore, if you are planning to sell your business on cash, you may also face problems regarding taxation. But, you can take help from any professional tax consultant in this regard.

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    You can also sell your real estate business on instalments. There are many tax advantages which you can avail by selling it on fixed instalments. However, there lies a little risk of future payments. Therefore, you must secure your future cash inflows by signing an agreement with the buyer. In addition, you should also assess the financial position of the person who is willing to buy your real estate business.

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    One of the most convenient ways to sell your real estate business is transfer its ownership to any of your family members. Generally, the parents transfer their business to their children rather than selling it to some outsider. If you intend to transfer your business to any of your family, you should hire an attorney so as to avoid any kind of problem in the transfer of ownership.

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    If you don’t want to sell your business, but you want to take advantage of its name and good repute in the market, you can given rights to people to open franchises in return of some particular sum of money and royalty fee. Moreover, it will be important for you to decide the probable clauses of the franchising agreement before selling the right to use the name of your business.

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