
When the kids won’t take over the business

Don’t want to, different skills, parents need the money etc etc. Often Plan B will be third party sale – time to prepare!
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.
Assume everything will be examined during DD and therefore be prepared. A smooth, well organised DD process reduces the chance of a deal falling over.
Valuation 101 – fair market value is what a willing buyer would pay a willing seller – it is not, unfortunately, a function of how hard or how long you have worked. A good M&A advisor should guide vendors to…
Buyers will discount businesses that haven’t moved with the times. Don’t let operations become antiquated so if you aren’t the most tech savvy, get help from someone who is.
There are three groups of people who are notorious for not knowing when to retire. Boxers, politicians and……business owners. Owners should plan for the sale of their business and, most importantly, prepare themselves! If they wait too long, they might not…