The attraction of a convenience store is very simple - you're providing your customers with convenience. When all other stores are shut, you’re the solution to last minute snacks or essential toiletries. So if you’re in the market to sell a convenience store, you have a valuable product on your hands.
But the product on its own is not enough to get the best possible price. You are in a good negotiating position but there is still some work to do.
Paperwork all ready?
One of the first things that a buyer is going to want to know about your convenience store is its profitability so if you haven’t got your financials sorted yet, this is the time. Ensure that you have your financial records all structured and up to date. The buyer will want to see a logical sequence of the financial returns of the store including balance sheets, income and cash flow statements. An organised representation of your financials will give the buyer an assurance that the business is in order and is running well.
Showcase your value proposition
The convenience store market is booming and so is the competition. What makes your store different from the rest? Do you sell a unique set of products? Are you in a prime location? Whatever it may be, you need to be able to bring the unique proposition to the forefront. By differentiating your store, you will create a stronger market position and therefore more likely to obtain a higher selling price.
Something like the location of your convenience store can be a great selling point and provide a unique value proposition. The thing about convenience stores is that brand loyalty or advertising are rarely a pulling factor. As long as there is convenience, your store will do well. And one of the big factors to creating convenience is the location of the store. Once you are in the market to sell, highlight the value of your location; maybe it’s close to highways or includes a locale advantage.
Importance of first impressions
Similar to showcasing your value proposition, you need to ensure that the first impression to any buyer is outstanding. This starts by looking after your store, ensuring it is clean and in absolutely superb condition. Although we’re told “don’t judge a book by its cover”, the reality is that people do. It’s something that can’t be helped and your buyer will be no different. If you think there are renovations or landscaping that need to take place, it may be worthwhile to spend some time tidying those loose ends before going to market. Cleaning up can also provide more opportunities to showcase the value of the store and find a buyer with an asking price that takes your fancy.
If you are unsure of the visual appearance of your store and the kind of vibe it brings, you can ask a friend or get a second opinion that will give you an objective perspective. Something as simple as a shelving rearrangement can change the atmosphere of your store and improve its presentation.
Listing your convenience store
And finally, ensure you list your convenience store on an online platform
for an easy way to connect with prospective buyers and expand your buyer pool.
Remember, your convenience store is a hot commodity. Don’t waste the opportunity to obtain the best asking price by not planning ahead.