How To Prepare The Sale Of Your Business?

How To Prepare The Sale Of Your Business?

One of the recurrent questions by potential purchasers or financial institutions financing an acquisition relates to what will happen when the owner leaves. Will the company survive? How dependent is it on the seller?

When buying a company, every purchaser seeks to get a return on his investment, which depends on the sustainability of future revenues and profits to a great extent. It is then logical that they feel nervous or become less interested when the sales or operations of a potential target heavily rely on the seller.

For this reason, a key element in maximizing the value of a business is building a strong management team capable of incrementally taking on the business’ day-to-day operation while the owner assumes a more tangential role.

As a complementary solution, the existence of proper and well-documented processes can capture an important part of a business’ DNA, which can spread relevant know-how across the organization and facilitate the integration of a new member when the owner or a key employee leaves.

Contact us to learn the way to prepare your company for a future sale.