Working with your best mate sounds great – just make sure that you also employ the right professionals.
Know the market (or engage an expert who does!)
Pricing, offers, negotiations, employees, due diligence, satisfying conditions, earnouts – all enough to send the sanest person crazy!
Don’t want to, different skills, parents need the money etc etc. Often Plan B will be third party sale – time to prepare!
It’s hard running a business when you are sick. It’s even harder selling a business when you are sick and haven’t planned your exit.
You don’t have to leading edge but businesses that ignore technological change may be left behind and become worthless.
“Show Me the Money!” Potential, reputation, location, contented staff and many other factors make a business attractive but ultimately the key thing investors look for is a history of profitability. As Jerry Maguire shouted “Show Me the Money!”
Many people don’t appreciate the time it takes to sell their business and achieve a full exit if there are transition and earnout arrangements. A successful sale also need planning and preparation time. Act now!
Every business owner dreams of the day that someone will throw money at them to buy their business. Some people’s dreams come true but for most the reality is harder work.
Buyers expect businesses to have sales and marketing plans to continuously fill up the “leaking bucket”!
Look after your key people! Buyers prefer businesses with key employees in place so operations can continue smoothly when ownership changes.