Selling a business is demanding to say the least. It takes hundreds of hours of negotiations and managing listings on internet business broker websites before a deal is finalized.
The work is so demanding that people often remain in work mode even after the deal is finalized. They look for new investment opportunities and ways to keep themselves busy after the sale is made.
This is when mistakes happen. In a bid to start something new, people often spend the money they made trying to fund bad ideas.
Therefore, if you just sold your business and have the cash to spend and more time than you know what to do with, it’s time to take a breather. Here are the top 7 things you should be doing after you sell your business.
1. Help the Buyer During the Transition Phase
This may be an obligation that’s part of the deal or simply a good gesture from your side, you should always consider helping the new business owner during the transition phase. Being around during the initial stages of the new ownership ensure that employees feel more confident about the new management while the new owner takes time to understand the operational intricacies.
Being part of the transition phase also allow you personally to ease out of the business and slowly let go of your responsibilities. This prevents depression that arises from suddenly letting go of a daily work schedule.
2. Learn to Relax and Enjoy the New Schedule
In time, you would have to let go and adapt to the new schedule. This is the best time to relax and enjoy all the free time you previously never had. Spend time with family and enjoy the little things. Use this time to reconnect with friends and family members. Go on that solo trip that you always wanted. It’s important to make plans that you could be excited about instead of having nothing to do. This keeps depression at bay and ensures you enjoy the free time without getting bored.
3. Learn to Say No to Bad Investment Ideas
The news of a successful business sale spreads pretty fast, especially in the industry. There is a high chance you are going to be bombarded with “new investment opportunities.” A lot of these opportunities will involve you being the primary investor in a new business venture. This is when you should learn the art of saying no. Turn down bad offers and ideas mercilessly and only entertain ones that are truly worth exploring.
4. Take Time Off and Let the Ideas Come to You
One of the reasons why it’s important to take a break is because the truly good ideas in life come when you are not looking for them. Take time off and let your mind wander and you will find a new thing that you can be excited about, whether it’s a new business venture or ideas for personal development.
5. Buy a New Business or Start a New Venture
A lot of people sell businesses to start something new. You can use the cash you earned from selling your business to buy a new business. This may be a business that has less demanding hours or something that allows you to do what you want to do. For example, many business owners and even executives open small brick and mortar stores such as local bakeries near their home to get out of a hectic schedule.
6. Become a Consultant
Considering the fact that you built a business and then managed to sell it for a profit, you have loads of experience to share. You not only have industry experience in setting up a particular business and then making it profitable, but you also have the knowledge to plan and implement an exit strategy.
Why not use your wealth of experience to help others struggling in the industry? Consider becoming a consultant and if you have a name in the industry you would have no trouble landing new projects.
The great thing about being a consultant is that you get to set the rules and decide your work hours. You also do not need to invest anything and you can earn regular paychecks.
7. Seek Help from a Reputed Money Manager
If you sold your business, you likely have cash in your account. It’s best to seek help from an experienced money manager to manage your fund. A professional can guide you on how to invest your money so you get assured returns every month. He or she can also help you grow your fund without getting into something that’s too risky and without compromising your existing lifestyle.