Selling a Business in Toronto

Is it different to sell a business in the GTA?providers you can turn to, lawyers, accountants and a
If you are thinking about selling a business in Torontovast amount of expertise available in the city.
you might have many questions about the process,The local economy
etc.  One question that does arise from time to timeToronto is a world class city with an advanced local
is if selling a company in Toronto is different than iteconomy that is as diverse as it is dynamic.  For that
would be in less populated parts of Ontario.  This isreason, there is a higher chance that you business will
an interesting question since there are somefind a market in the city as well as a buyer should you
fundamental differences to sell a business in Torontochoose to sell it.  The growth of the city, business
versus most other parts of Ontario or even Canada. opportunities and vast economic activity suggest that
This article will examine some of the unique attributesselling a business in Toronto would be a different
to selling businesses in the GTA.experience.
PopulationWealth
This is a straightforward point.  Looking at the rawOn a per capita basis there is more “wealth” in
numbers, the GTA has many people.  This translatesthe city of Toronto than in other parts of Canada. 
into more potential buyers.  Because of this, it isThis is important to you if you are thinking of selling
typically easier to sell a business in Toronto than ityour business because liquid resources (cash) are
would be in Owen Sound.required in order to buy a business.  Many business
ImmigrationThe Greater Toronto Area attractsbuyers have equity in their homes or stock portfolios
thousands of new immigrants to Canada every year. that they can tap into should they choose to purchase
Many of these immigrants unfortunately don’t havea company.  This ‘wealth effect’ is a reason
the “right” credentials to move forward in theirwhy businesses are sold to willing and able investors.
respective careers once they come to Canada –Market opportunities
either their degrees aren’t accepted or theirOften, when a person buys a business they look to
experience in a foreign country is discounted. acquire not only the historic operations of the company
Whatever the case may be, this group of people tendbut also think about the potential that the business has
to turn to small business ownership as a means toif they apply their skill, knowledge and passion to the
move ahead economically.  Because of the relativelycompany.  This “upside” is what most buyers
large number of immigrants (and investor immigrants)look to.  Upside is higher in cities where different
to Toronto, selling a business in Toronto can bemarkets can be found (or created) and in urban
somewhat easier.centres that are seen as economic hubs.  Toronto is
Supportseen as a very attractive place to do business in so
If you would like to sell a company in Toronto youselling a business in Toronto should be that much
have access to resources that some less populatedeasier, for this reason as well.
area have.  There are business brokerage service