Preparing Your Business for Sale

Perhaps you have noticed that there is a lot more consolidation going on among businesses large and small right now - acquisitions, mergers etc.

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What most people don't know about me is that I've actually sold three of my companies along the way!

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The first was my law practice when I sold everything to travel for a year with my first book...and the most recent was in 2020, days before lockdown.

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If you've been thinking about grooming your business for sale, here are a few lessons I've learned in doing this that may help:

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1. Be the creator and leader of your company and brand, but don't be the sole face of it! Otherwise, buyers have a hard time visualizing themselves doing all the things you do without losing sales because they AREN'T you. :( (This cost me more than one buyer!)

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2. Groom key people for your leadership team that will stay on after the sale. If the buyer believes that the business will remain stable and/or grow after they buy it because key players are still in place, it's MUCH easier to sell.

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3. Think NOW about exactly who you want to acquire your company. Don't wait till you're ready to sell and then realize you haven't built your business the way your ideal buyer wants it to be.

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4. Do everything you can to build recurring revenue. You can create a membership, a program that many people buy on installments, a continuity program or a done-for-you subscription (like Your Marketing Dashboard, our all-in-one software for online businesses).? Then, the buyer knows the revenue from those programs will continue assuming the value and deliverables remain the same (or even better).

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5. Decide whether you’re willing to stay on as a consultant to the new buyer, and if so, for how long. The longer you stay, the more you’re still tied up in the day-to-day. Also consider what other terms are non-negotiable to you.? I ended up “stuck” being assigned as a lawyer – one of three lawyers in our firm – on a business sale gone bad that was done on a long-term contract.

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Want further guidance on how to set your business up for sale? Just send me a message or email [email protected] and I’m happy to help! (Even as I build my next one for eventual sale as we speak!)

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QUICK REMINDER

We are finalizing the authors that will participate in our anthology this September called Transformational Tales of Triumph, featuring women entrepreneurs telling their business origin story.

If you'd like to be included, check out the details here and get in touch soon - only a few days left to be considered!

Marcia Bench

7-Figure Visibility & Business Growth Coach for Women Entrepreneurs

https://marciabench.com