In our other blogs, we've discussed the business selling process and how to sell a business. But one question you might be asking yourself is, what about the vendors? How do they fit into the business selling process? Is there a waiting period for telling your vendors that the business will be under new management soon? 

Assurance Is Key For Your Vendors 

As you pass the torch of your business on to the following individual, your vendors need to be kept in the loop. Not only should you keep your vendors and suppliers informed about the selling of your business, but they will need assurance that their supplies will continue and remain on schedule. 

Keep Your Accounts Current During The Transitional Phase

You will also need to ensure your accounts with your vendors or supplies are current throughout selling your business. Ensure that the new buyer is well aware of any specific pricing, terms, and contracts between you and your vendors. The new buyer needs to honor these accounts and terms after you are gone to keep up with your current vendors. 

What Is The Best Time To Let Vendors Know About Your Business Being Sold? 

It is best to wait until the company is bought before informing your vendors and supplies of the change. Letting them know too soon could result in vendors pulling out of contracts and supplies demanding more money. When the buyer has been found, and the deal has been made, introduce your buyer to the vendors to build a strong partnership from the start. 

Learn More About Selling Your Business Through Vend Advisors

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