Want to Sell Your Business? Avoid These 5 Mistakes

Every business owner will “exit” their business one way or another. The savviest owners know that selling their business to an unrelated 3rd party is the most lucrative option. However, those same savvy owners tend to be “self-made,” and thus “independent thinkers, ” and this is where we see many of them struggle.

You see, business owners dream of getting top dollar for their companies, but very few can achieve that goal.  After having worked with numerous owners over the years, we have learned that there are some undeniably great traits that lead to the best exit results, good traits that produce above average results, and troublesome traits (with regards to the sales process) that lead to sub-par results. Read on to see if you identify with any of the 5 common traits we consistently encounter with the owners and shareholders of privately-held businesses.

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1. Many business owners fail to assemble a great transaction-specific Deal Team. 
   

2. Many business owners fail to first understand what their company is worth in the fair market and why.  
   

3. Many business owners downplay their company's current trends as they relate to a buyer’s appetite for risk.
   

4. Many business owners refuse to extract themselves from the day-to-day workings of the business.
   

5. Many good businesses lack transparent financials, consistent operational data, strong safety and sales metrics, etc.

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There is an enormous amount of information we could share about this topic. Our firm specializes in working with business owners to create a customized roadmap that ensures personal transaction success. If you would like to discuss or review any of the 5 common traits to help avoid potential pitfalls, please send us an e-mail to schedule a confidential call.

If you’d like to discover more tips for selling your company, please reach out to Matt here: matt.gilbert@gap-advisors.com

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