Are you ready to sell your business?

Published

15th November 2024

Take our seven-question quiz to find out if your dream future is achievable.

1. Do you know why you want to sell?

a. Yes, I have discussed this with family/friends/business partner and I am clear on my reasons. I have considered the options and am clear on my non-negotiables. b. I’ll transition to a portfolio career and take on some other roles rather than fully retire. c. Not yet – I am thinking about selling, but only speculatively at this stage.

2. Are your records up-to-date? This includes financials, tax statements, HR, legal and customer records as well as forecasts.

a. Yes, I have three full years of audited financial records and my tax, HR, legal and customer records are also up to date, as are my financial forecasts. b. I would need to check with my accountant/finance department, but I think I could lay my hands on the necessary documents. c. I am not sure.

3. Do you have the time and the physical and mental capacity to manage a sale right now?

a. Yes – I have been working towards a sale for a while now, meaning the business is in great shape, and I am balancing work/home as well as I can. b. I know I need some help to manage all the spinning plates, but I am not sure who to reach out to first. c. I have not yet fully considered the impact a sale will have on other areas of my life.

4. Do you know what type of exit you are looking for? Partial exit, MBO, transfer of equity, fully cut the cord?

a. Yes. I am resolute in my decision; I know what I am looking for in a buyer and what they are looking for from me. b. I am still considering my options before I decide what is best for me, the business, and my family. c. I have not thought this far ahead at this stage.

5. Do you know what your buyer is looking for? Diversification, access to a client base, access to a new income line?

a. Yes, I am confident I know how my business will add value to a buyer. b. I know the value my business could add to a buyer, but I have not considered it from the buyer’s perspective yet. c. Different buyers will be looking for different things, so I am keeping my options open at this time.

6. Do you know how you plan to spend your time post-exit?

a. Yes – I have mapped out an immediate plan with help from family and friends, and I have some medium and longer-term goals in mind. b. The first few months are planned for, but I have not thought beyond that. c. I have not considered what life after exit will look like yet.

7. Do you have a clear idea of company value?

a. Yes, the business has been reviewed by external advisers, so I have a clear idea of the value, and of how others will value the business. b. I am confident in the financials and forecasts of the business, so I have a strong idea of the value of the business. c. I am not sure how someone else would value my business at this stage.

You are...

Mostly As

It sounds as though you are well prepared for a sale and may have even found a buyer. Having the right support network in place to guide you through the sale, to support you mentally, physically, and emotionally, and help you prepare for the future is key. Make sure you have people around you that you trust, you can confide in and are supporting your agenda.

Many entrepreneurs focus on the sale of the business and, despite good intentions, neglect to take care of their personal finances. By seeking advice early, we can help you structure your finances in a tax efficient manner, aligned to your goals.

Book a meeting with our Entrepreneurs team today

You are...

Mostly Bs

You may be at the beginning of the exit process, thinking about how you can put your best foot forward to appeal to buyers. Preparing a business for sale, while continuing to run it and maintaining family and social connections can become overwhelming. It is important to have the right support network in place to help you make the difficult decisions, and to offer guidance and support.

You will need an accountant, solicitor, and a personal financial adviser. Depending on your business and the complexities, you may also benefit from a tax adviser and a broker or corporate finance house. We can help you find the right team to support you through your business sale and beyond.

Let our Entrepreneurs team contact you today

You are...

Mostly Cs

You might not be thinking about a sale right now, but it is worth considering just how long a sale can take. Record keeping is vital to understand how your business is performing, identifying trends and understanding the value you can offer a buyer.

If you are considering a potential sale within the next three years, let our team help you plan so that when the time comes you are as prepared as you can be.

Get in touch with our Entrepreneurs team today

You are...

A bit of everything

It sounds like some aspects of your business exit strategy are fully formed, while others need further thought. Getting the right team around you as you consider a business exit can be a valuable first step. Seeking advice will help you identify any gaps in your plan and how to fill them.

If you are considering a sale within the next three years and you would like to understand how to develop your plans, our team is here to help.

Book a meeting with our Entrepreneurs team today

Report

Exiting your business

Deciding when and how to exit a business can be one of the biggest decisions for an entrepreneur. To understand this experience we spoke to 100 UK business owners at all stages - those who have already exited, those planning to exit, and those not currently considering exit.

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