Selling Your Business Requires Preparation
Understanding what makes your business attractive to buyers is the first step in preparing for an eventual sale. Below is a list of items that are generally found to be the most important:
– Recurring Revenue/Strong Cash Flow
– Consistent Growth
– Transparent Financial Management and Reporting
– Tangible and Intangible Assets
– Talented Work Force and Management Team
– Diverse Customer Base
– Rock Solid Infrastructure/Processes
– Strong Competitive Position/Barriers to Entry
– Systemic/Repeatable Sales Process
Achieving success in as many of these areas as possible will create an operation that delivers improved results that can be sustained over time. Your business will be more “sellable”.
An opportunity to sell your business may present itself when you least expect it. You may get an inquiry from an interested buyer or from an intermediary. You may recognize an emerging marketplace dynamic that suggests now is the time to sell. Put yourself in a position to make the most of these opportunities when they arise.