“Yes, I am interested in selling. But…is there anyone buying charter & tour businesses right now?” Considering CTA just wrapped up its 7th transportation business sale in 5 months, it is safe to say that someone is buying them. Here is what is happening in the market right now.
In the current market, three groups of buyers are buying charter, tour, and/or school bus businesses:
Group 1: This group is made up of professionals leaving the corporate world. Some of these professionals have made other people a lot of money for a long time and are ready to call their own shots. Others have been laid off, and owning a business is the only way (in their mind) to secure a similar level of income.
Group 2: This group of consists of local/regional competitors. Sometimes this group can be reluctant to pursue acquisitions without a little nudging. I commonly hear, “why would I want my problems and his problems too?” When local/regional competitors get past their preconceived notions and start to recognize the potential synergies/cash flow opportunities available through an acquisition and/or merger, they can quickly become very motivated buyers.
Group 3: This group consists of existing charter, tour, school bus businesses from all over the country that may have a strategic interest in acquiring your business. You could have customer accounts that are extremely valuable to another business. Or, your business could be located in the middle of another company’s strategic expansion plans. Your business may offer synergistic qualities that neither you nor a potential buyer can pin down without thoroughly investigating all potential opportunities. Don’t assume anything.
The point I am trying to make is that your charter & tour business may be very attractive to many different prospective buyers for many different reasons. The worst thing you could do is independently determine that your business may not be worthy of a buyer’s attention. Again, don’t assume anything. Rely on experienced industry professionals to help you understand how a buyer may respond to your business if it were for sale.
