Who is responsible for the success of your business? The politically correct b.s. answer is always “oh it’s a team effort blah blah blah.” But let’s face it: if you founded it, most likely it’s YOU, or perhaps you and a partner, who actually made it happen. You were just smart enough to hire a good team to back you up.
But there comes a point in where every business owner thinks: “it’s time to bail.” The problem is, can the business thrive without you, its fearless leader?
If you think not, let me fill you in: any buyer who does good due diligence is going to figure this out. And there goes your valuation.
So you need to leave a machine in place that can kick ass even if you are long gone.
Do it right, and you retire nicely with a lot of coin in your pocket.
Do it wrong and you not only sell your company for too cheap, but it could fail. Which sucks if you worked hard to build it up.
Anyway, my advice is to start planning things out 3 to 5 years in advance. And call us to help you manage the transition and help you build a real revenue machine. That is what smart buyers want and will pay the maximum possible for.
Pay less tax: The way you structure your exit will affect how much you have to pay Uncle Sam, and some strategies could take a couple of years to implement.
Gain leverage: When you get your planning, sales processes and platforms optimized, as well as hire the right people, you are in a better position to negotiate a better earn-out and second bite.
More money: When you create a revenue machine (with our help) which doesn’t depend on you for its success, you will attract better buyers with deeper pockets.
If you are thinking of leaving, you and I should have a conversation. We need to make sure that your company doesn’t depend on you — like letting your children go when they move out of the house because you cannot baby them forever.
Accomplishing this is less art and more science. You ‘ve got to look at your people, your marketing, your tech stack, survey data, and more.
There’s a formula to doing it right, and I can share some of it with you if you are interested.
I can be reached at firstname.lastname@example.org or my cell 760.815.4464