I’ve sold hundreds of businesses over the years, and one of the biggest misconceptions I see is that due diligence is simply about finding something wrong.
That’s not the purpose.
Good due diligence should give the buyer confidence.
business advisors
business advisors
Who Is the Right Buyer for Your Vacation Rental Management Company?
A larger operator may be interested in your geographic footprint, homeowner relationships or technology.
Their valuation may be driven by strategic expansion.
Homeowner Contracts & Retention Risk – Property Managers Focus Point In Valuation
Homeowner churn tells a buyer something about the stability of future revenue.
If you consistently lose 20% of your homeowners every year, a buyer has to replace that revenue just to stand still.
That’s expensive.
If your retention rate is excellent, your buyer has a much more predictable revenue stream.
And predictability is valuable.