The government has confirmed a time frame for re-opening the country’s borders this year. What potential impact, if any, is this likely to have on the business sales market?
Though we’re not exactly sure how may Kiwis will be coming back. There have been predictions for as high as 250,000 over the next or two or three years, with a significant percentage looking to return home permanently. Sure, there will also be Kiwis looking to exit New Zealand and seek employment opportunities offshore, but expectations are the net position will result in a large number of buyers entering the market.
Currently more of our skilled population live offshore than any other OECD country. So there could be a significant number of skilled, cashed up professionals in the market seeking employment. Many of these will have aspirations to invest in established businesses or buy themselves a job.
The Covid-19 pandemic hasn’t stopped or impacted the number of baby boomers looking to exit, sell up and enjoy their well-earned retirement.
In the next few years, we could experience an extremely busy and active market as result of the influx of buyers and sellers looking to transact deals.
Despite the obvious disruptions and impact the pandemic has had on the New Zealand economy over the last couple of years, many industry sectors are reporting strong trading results and a positive outlook for the future.
As we look overseas, we start to see the relaxing of COVID restrictions and many countries benefiting from a more “business as usual” stance.
Despite the obvious hardships resulting from the pandemic, many New Zealanders have used it as an opportunity to really take a good hard look at their lives and assess their priorities for the future.
Business owners recognise more than ever the importance of timing when looking to sell, ensuring they reap the tax-free rewards from a successful sale. Buyers are taking stock and acknowledging the benefits that business ownership can provide them and their family. There are numerous benefits to business ownership including building equity and taking control of you own destiny.
As the borders reopen, we will start to see the joy of families reuniting, people enjoying travel, tourists coming to experience our amazing country and the buyers and sellers of businesses benefiting from a busy market.
If you are considering selling or buying a business in the coming future, get excited, and get prepared.
2022 is shaping up to be an exciting year for the business sales market!
