Restoration logo
search
cart
facebook twitter linkedin youtube
  • Sign In
  • Create Account
  • Sign Out
  • My Account
Restoration logo
  • NEWS
  • PRODUCTS
    • New Products & Technologies
    • Submit Your Product
    • Interactive Product Spotlights
  • EDUCATION
    • KnowHow.
    • Podcasts
    • Trade Shows & Expos
    • Training & Certification
    • Webinars
    • Whitepapers
  • TOPICS
    • Water Damage
    • Fire & Smoke Damage
    • Mold
    • Contamination
    • Odor
    • Contents
    • Architecture
    • Catastrophe
    • Cleaning
  • BUSINESS
    • Managing Your Business
    • Insurance/Legal Matters
  • BUYER'S GUIDE
  • VIDEOS
    • Ask Annissa
    • Ask the Expert
    • Ironclad Marketing Minute
    • TradeTalks
    • Video Channel
  • INFOCENTER
    • Mold and Mycotoxins
  • THE EXPERIENCE
    • Conference & Exhibition
    • Convention & Trade Show
    • R&R Special Issue
  • EMAG
    • eMagazine
    • Archive Issues
    • Contact
    • Advertise
  • SIGN UP
Managing Your Restoration Business

Ready to Sell? Five Critical Questions to Consider

Your nest egg is not something to be taken lightly.

By JT Kraai
selling your biz
July 21, 2016
For some, the thought of selling creates a feeling of euphoria, for others terror.  After decades of successfully owning and operating a disaster restoration company, the thought of selling may cross your mind. When it does, shouldn’t your emotions be closer to the euphoria than terror? For many owners this is not the case.   
 
To assist with the decision making process, please consider 5 critical questions; answered thoughtfully they should have a profound effect on your ultimate timing and transition from your business:   
 
1.  Who am I without my business?  
 
Let’s face it, business ownership comes with perks. As business owners you are needed. People depend on you and your opinion is paramount… at the end of the day, you’re the boss. Being "important" can become a way of life.  
 
When considering a sale or transition, it may be troubling when the realization strikes that you won’t be as important or have the responsibility you once did.  
 
Years ago I sold a business for an 83-year-old who had started the company in 1949 at the age of 29. The sale process and due diligence were going smooth until, two weeks prior to closing, I received a call I’ll never forget. He was struggling with his decision to sell, with his voice crackling he exclaimed, “Without my business, who am I?” After over 50 years as a business owner, he didn’t know who he was supposed to be without it.  
 
Your case may not be this extreme. However, make sure you have a place to ‘land’ and you have something or somebody pulling you away from the business- your family, hobbies, etc. Without it, both your decision and journey become more difficult. 
 
2.  Selling: Are you making it a process or choice?
 
Done improperly it looks like this: During a frustrated moment, you decide to sell what took you years to create. You’ve crossed the emotional hurdle of wanting to sell and now just want to close this chapter of your life and get onto the next. Probably at the end of your rope and with no energy or desire to prepare your business for sale, moving forward you discover options are minimal and you end up selling for significantly less than you thought. Plus, the IRS gets more than their fair share.  
 
It is simple: not planning is costly.  
 
Done properly, it’s a deliberate yet basic course of action requiring you to plan for the road ahead. With a handful of right questions asked and a nominal effort, you’ll be able to save tens or hundreds of thousands of dollars at the point of sale and resulting tax liability. With answers, you’ll also significantly reduce your emotional angst and stress in the three to five years prior to selling.
 
The results are obvious: the ROI due to your intentional preparation will be returned to you 10 to 20 times over. Most owners get one chance at successfully selling their life’s work… why not do it right?  
 
3.  Spouse ready to have you home?
 
If your family works like mine, any important decision takes two ‘yes’ votes. With the chaos and stress level of owning a restoration business, being at home for weeks on end probably sounds appealing as it would allow you the opportunity to finally clean the garage and get caught up on the honey-do list.  
 
Then what? The decision to retire is a big one; it should not be made lightly and it should be made together. If both of you are eagerly looking forward to the transition, then you have your answer. If there is hesitancy with either of you, then a meaningful discussion is probably overdue.  
 
Being on the same page with this decision will go a long way toward the planning and preparation process.   
 
4.  Once I sell, can I continue to work?
 
Most owners assume once they sell they have to stop working, but this is not the case. In your mind, separate working from owning. You may be at a point in your career where you’re tired of the hassles and headaches that come with owning a business in a difficult industry, but you’re not ready to stop working. It doesn’t need to be one or the other.  
 
The solution for some is to sell their business and stay on as a sales manager, project manager or estimator. This allows you to take some chips off the table, boost your retirement accounts and minimize your exposure. Additional benefits include: staying connected to the office and clients, earning a decent wage and benefits for a time period suitable to you and your family, and in many cases you’ll be allowed a very flexible work schedule. Another added bonus, when the work day is over, you get to leave work at work.
 
Though not appealing for everybody, this can make for a wonderful transition period between owning the business and full-time retirement.  
 
5.  What are you going to do with the money?  
 
Many owners can get laser-focused on wanting to sell, never stopping to think about what they’ll do with their net proceeds.  Would you pay off your home or rental property? Buy more property? Place the funds in the stock market or mutual funds? Buy gold or silver? Establish a college fund for your grandkids? Become involved in charitable organizations?  
 
There is no wrong answer. However, it deserves to be (at least minimally) talked about. Your nest egg is not something to be taken lightly. Thus, some clarification and expectations on what your proceeds will be used for and where they’ll be placed is a critical variable in your decision.   
 
Beyond the obvious questions (business value, taxes, preparation, confidentiality, etc.), there are important variables to consider when the thought of selling crosses your mind. Without any forethought or preparation, the road ahead is virtually guaranteed to be a bumpy one.  
KEYWORDS: restoration management selling your business

Share This Story

Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!

JT Kraai is president of Exit Strategies 360, specializing in business valuations, brokerage and transitions in the remediation and restoration industry. He can be reached confidentially at (503) 577-5649 or at info@exitstrategies360.com.

Recommended Content

JOIN TODAY
To unlock your recommendations.

Already have an account? Sign In

  • mold remediation

    Fighting Mold and Bacteria Damage

    Successful mold remediation can be multidisciplinary,...
    Mold Remediation
    By: Josh Woolen
  • certifications and licenses for restoration professionals

    Certifications and Licenses Every Restoration Company Needs

    Restoration companies need to make sure they have the...
    Restoration Training/Education
    By: Sharon Elzarat
  • a wall covered in moss and fungus

    Zero Tolerance for Toxic Molds: Essential Steps for Successful Remediation

    Understanding the importance of zero tolerance for toxic...
    Mold Remediation
    By: Michael A. Pinto CSP, SMS, CMP, RTPE, FLS, ERS and Kendra Seymour
You must login or register in order to post a comment.

Report Abusive Comment

Subscribe For Free!
  • eNewsletter
  • Online Registration
  • Subscription Customer Service
  • Manage My Preferences

More Videos

Popular Stories

wall cavity drying

Dry or Demolish? Navigating the Complexities of Wall Cavity Restoration

Ask the Expert: Unlocking Efficiency in Water Damage Restoration

Unlocking Efficiency in Water Damage Restoration

Ask the Expert: Catastrophe Panel - Back to the Basics Part 1

Catastrophe Panel – Back to the Basics Part 1

Submit Your New Product/Technology to R&R!

Would you like to promote a new restoration, remediation or cleaning product/technology with Restoration & Remediation? Fill out the question below to start your submission:

Events

September 3, 2025

The Experience Convention and Trade Show

The Experience Convention & Trade Show logoJoin us in Las Vegas for The Experience Convention & Trade Show, the leading event for cleaning, restoration, and remediation pros, packed with hands-on demos, expert speakers, and high-impact networking. Happening September 3–5, 2025 at Caesars Forum—this is where the industry comes to learn, connect, and grow!

View All Submit An Event

Poll

Restoration Services

What restoration/remediation service do you prioritize most?
View Results Poll Archive

Products

The Cleaning, Restoration, Inspection, and Safety Glossary

The Cleaning, Restoration, Inspection, and Safety Glossary

The Cleaning, Restoration, Inspection, and Safety Glossary.

See More Products

Related Articles

  • preparing to sell

    Preparing to Sell: 7 Variables to Consider

    See More
  • Kraai_FT

    10 Critical Questions Prior to Selling Your Business

    See More
  • kraai time to sell

    5 Signs It’s Time to Sell Your Restoration Business

    See More

Related Products

See More Products
  • More-Answers---Part-2.gif

    More Answers Than You Have Questions About Carpet Cleaning Vol. 2

  • More-Answers---Part-1.gif

    More Answers Than You Have Questions About Carpet Cleaning Vol. 1

  • Cover.jpg

    How To Get More Water Damage Jobs (ebook)

See More Products

Related Directories

  • Rytech Restoration of Nashville

    Rytech Restoration of Nashville provides 24/7/365 emergency service by certified technicians trained to get residential homes and commercial properties back to normal efficiently and fast! Our local experts utilize advanced detection devices to minimize demolition and industrial-grade equipment to rapidly dry water and fire damage and prevent mold growth. We specialize in water damage restoration repair, fire damage cleanup, mold removal, mold remediation, decontamination, and flood damage cleanup services. Live specialists are standing by, ready to answer your questions and dispatch a Rytech tech to your door. Schedule an inspection today!
  • Rytech Restoration of the Midlands

    No one plans for the destruction caused by water, fire or mold, but when it happens, the team at Rytech Restoration of The Midlands is here to help. Our certified specialists provide 24/7 emergency service to get you and your Columbia SC home or business back to normal as quickly as possible. From residential homes to commercial buildings, we specialize in mold remediation, water damage restoration, and fire and smoke damage cleanup. Our live specialists are ready to answer your questions and dispatch a local specialist to your door. Schedule a free inspection and estimate today!
  • Rytech Restoration

    Rytech Restoration provides 24 hour emergency restoration service by certified technicians trained to get homes and commercial properties back to normal efficiently and fast! As a leading disaster restoration network, our local experts utilize advanced detection devices to minimize demolition and industrial-grade equipment to rapidly dry water and fire damage and prevent mold growth. We specialize in water damage restoration repair, fire and smoke cleanup, mold removal, mold remediation, decontamination, and flood damage cleanup services. Live specialists are standing by 24/7 ready to answer your questions and dispatch a Rytech tech to your door.
×

Stay ahead of the curve with our eNewsletters.

Get the latest industry updates tailored your way.

JOIN TODAY!
  • RESOURCES
    • Advertise
    • Contact Us
    • Directories
    • Store
    • Want More
    • Submit a Press Release
  • SIGN UP TODAY
    • Create Account
    • eNewsletters
    • Customer Service
    • Manage Preferences
  • SERVICES
    • Reprints
    • Marketing Services
    • Market Research
    • List Rental
    • Survey/Respondent Access
  • STAY CONNECTED
    • LinkedIn
    • Facebook
    • YouTube
    • X (Twitter)
  • PRIVACY
    • PRIVACY POLICY
    • TERMS & CONDITIONS
    • DO NOT SELL MY PERSONAL INFORMATION
    • PRIVACY REQUEST
    • ACCESSIBILITY

Copyright ©2025. All Rights Reserved BNP Media.

Design, CMS, Hosting & Web Development :: ePublishing