Practice Like You Are In The Game

Written by James Sanders

We talked last week about the best time to think about selling your business (yes, it’s always).  However, if you are not in that mindset, how do you know where to start.  There is really no perfect answer.  However, I thought the list below would be good to ponder: 

• Identify why you want to sell your business and who potential acquirers would be;
• Determine the value of your business (consider hiring a business valuation expert);
• Decide whether you want to hire a broker or negotiate the deal yourself;
• Get your books in order; understand the true profitability of your business; and
• Organize your paperwork (contracts, formation documents; miscellaneous legal documents, etc.).

While you are thinking through the items above, please consider involving your professional business advisors.  They have been through this process before and can assist with the information gathering and preparation.  Two such advisors (and excellent ones at that) have provided us with some insightful articles:  

• How to Prepare Your Business to Exceed Buyer Expectations – Joseph Guarino – Link 
• Preliminary Guide – Preparing for the Sale of Your Business – Steve Oatway – The DAK Group

A sale process could take days, months and/or even years.  As long as you are focused and organized, you should be ready to execute when the time is right.   As I have been told time and again by coaches – You need to practice like you are in the game.  The same applies to running your business (in this case the game is growing your business to successfully exit or sell it).