Are You Asking: How Do I Sell My Yoga Studio?
The yoga world has expanded, which means there are a lot more yoga studios both opening and closing these days. While that may sound like a saturated market, for yoga studios owners looking to sell their business it’s great news.
Many studios are purchased by other studio owners, teachers or clients and with the increase in popularity, that means more potential buyers are available than ever before.
Focus on Your Studio
In one sense, selling a yoga studio is similar to selling a home: you want buyers to have a great first impression. How do you provide this?
Consider how the studio looks and feels when someone walks in the door for the first time. Are there any minor changes that need to made in terms of lighting fixtures, repairs or painting? Luckily, most studios need very little done in terms of the space as the nature of the business involves a strong aesthetic appeal. Still, if you’ve been holding off on any updates, now is the time to make them.
Many studios are owned and operated by teachers themselves. This presents a unique challenge once it is time to sell as clients may be inclined to leave with the owner. By preparing in advance, a studio owner can begin to back off of the teaching schedule and encourage other teachers to become more visible. This prevents the business sales from dipping during the sale process.
Understand Your Studio Value
Buyers of any business want proper documentation, including the sale of a yoga studio. It’s important that you paperwork is accurate, complete and up to date or you may receive a much lower offer. Some studios don’t keep profit sheets or profit/loss statements, but you will need tax returns (at a minimum) to support your asking price.
Talk to an expert and get a realistic Opinion of Value. You don’t want to price yourself out of the market and you definitely don’t want to undervalue what you’ve worked hard to build. Tell one of our business valuation experts about your yoga studio. We’ll provide you with a free, confidential Opinion of Value.
The new owner will need information regarding lease agreements, supplies, equipment, and merchandise. Other considerations include: workshops already scheduled, website ownership, and any branding or marketing already established. These can help with your appraisal for the overall value of your studio.
Listing Your Business
Yoga studios are often purchased by other studio owners teachers. However, confidentiality is crucial as not to disrupt the business during negotiations.
For owners without a buyer in mind already, the process becomes more complex. The easiest way to mitigate stress is to find a successful business broker, one who has experience and connections and a solid support team.
At Alliant Capital Advisors, we have spent years developing a proven selling model. We market your business confidentially to our backlog of active buyers, our extended business networks, and our online listings portal, which receives thousands of views.
As we like to say, “Our only business is selling your business… CONFIDENTIALLY.”
Unlike other firms, we do not charge any fees until the deal closes. You don’t have to worry about upfront, out of pocket expenses for services that may not work.
Once you hire a business broker, keep the focus on running the business. Now is not the time to pump the brakes and stop pushing sales. Keep sales up and costs down to present an attractive opportunity to potential buyers.
For many yoga studio owners, selling the studio is simply closing one chapter in life to open another. It works best with a well-planned exit strategy and allows the business part of the studio to transfer seamlessly without impacting the community culture that’s been established.
If you’re considering selling your yoga studio in the near future, contact us today to talk to an expert and discover the true market value for your business.