It's important for prospective buyers and sellers to remember a business doesn't always need a lot of tangible assets to invite funding.
Some banks have very good lending criteria that focus on what the business makes in profit, rather than what it holds in assets, says Dixon.
"That's important because there are businesses that make good money, but they've depreciated the hard assets down to a nominal figure over time, which results in a high level of goodwill that needs to be financed.
"The funding packages available for that type of deal at the moment are accommodating," says Dixon.
Van Camp adds that one of the most significant dynamics behind why now is a great time to sell, is the number of quality cashed-up buyers looking for a business.
"These folk include the highly skilled ex-pat population, who are being drawn back to the relative security of New Zealand.
"They want the independence of their own business, rather than just jumping back on to the corporate bandwagon," says van Camp.
"There's a similar demographic from within New Zealand, people who - because of the housing boom - now have significant equity in their homes and they've decided they want to put that money to work for them in a business.
"So there's a fair volume of ready-cash looking for a home - or in this case, a business - but not just any business.
"They want a strong, appealing business," he says.
To maximise the sales process, van Camp believes that the best method is to showcase why the business makes commercial sense to buy.
"Vendors need a robust narrative around the future earning potential of their business; one a potential buyer can understand; one they will be able to ratify within the due diligence process.
"It's also essential to make this easily understandable to the buyer's independent advisers, for example, their banker and accountant."
Potential methods of achieving this, include:
• Have up-to-the-minute financial information. Clear information allows you to explain what product you're selling; at what margin; to which customers; and why those customers are buying from you.
• Bring contracts and leases up-to-date. Have contracts locked-in, and extendable if possible - especially contracts with suppliers or customers that would be beneficial to a new owner.
• If location is important, a buyer should also be assured they will be able to stay there for a reasonable period of time. Make sure the lease isn't due to expire and finalise overdue rent reviews.
• Have an operations manual ready. Many small businesses rely on a mix of procedures that exist only inside the owner's head. Businesses are more saleable if procedures are clearly systemised and documented in an operations manual, in which case a new owner can take over with minimal training.
Dixon concludes that once the decision to list the business for sale has been made - don't rush the process.
"Businesses generally take months to sell rather than weeks; selling in a hurry sends the wrong market signals and puts a vendor in a weak position to achieve the best possible price," he says.
"The time is right to sell, so make sure everything you do contributes to getting the right price as well."
