The 3 big questions if you’re looking to sell your business
We frequently speak to mid-sized CEOs and business owners who are looking to sell their business. Sometimes the process is imminent; sometimes it is simply a long-term aspiration.
Either way, they want to know how to make their business more attractive. We always find it helpful to think of it from the buyer’s perspective. Potential buyers will look at businesses from three angles:
- EBITDA. The business needs to be simple, automated, and integrated to maximise the bottom line.
- Future growth. There needs to be a vision for growth underpinned by scalable systems. Tech is central to every business vision these days, and businesses that are tech-enabled have greater valuation multiples.
- Fears and uncertainty. Buyers need to be confident about cyber security, data governance, compliance, and risk. Issues like reliance on key individuals, strange suppliers and non-standard tech can burst their bubble!
But, most importantly, these issues drive value because they are genuinely valuable. Even if you don’t sell your business, getting these things right will make it more successful and less risky!
