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Preparing to sell your business

How to prepare your business for sale

Selling a business requires a lot of preparation to best position it to attract the maximum interest and maximum sale value. Adequate preparation also reduces the risks of the transaction falling through at a later stage.

There are a number of key things that should be right as soon as possible:

  • Ensure the business is operating in as lean a fashion as possible (without damage to the future prospects of the business), i.e. maximise profitability.
  • Prepare the information on your business in a simple way, a business that looks too complicated to operate can be of less interest.
  • Ensure your business stands out from competitors by showing its uniqueness or edge.

Place yourself in a buyers’ shoes

We’ve been in the shoes of the buyer and the seller before. It’s easy for the seller to just assume the buyer will like what they see because it works well for the seller.

There will be many areas of the business that are likely in the seller’s heads, i.e. only the seller knows how to undertake certain functions. This potential loss of knowledge or any unusual processes can turn a buyer away. Ensure your business operates well and if possible consider producing a handbook.

Review your processes, is this the best way of doing things, operating in this way just because this is the way you’ve always done it is not always the best positioning when the buyer is considering how they may integrate your business into theirs.

You want them to see the value of your business, see the opportunities to grow the business further and see how your business could compliment their existing businesses.

Whilst ultimately about return on investment (ROI) for the buyer they need to see the maximum value and a business with the minimum potential for leakage of future profitability or growth. After all they are buying the future.

Click here to contact us for a no obligation consultation.

Contact us for a no obligation consultation.

Contact us for a no obligation consultation.

Sector Insight

Unlock maximum value.
Get the right deal structure.
Smooth and efficient execution.
Maintaining confidentiality.

Our industry knowledge makes us well placed for identifying acquisition targets or potential acquirers. We have extensive experience in buying and selling businesses in the technology sector. Coupling this with our unique technical knowledge we are able to help de-risk the process, ensuring smooth execution and maximum value extraction.