#15 Selling Your Business
Welcome to the final episode of season 2. As I conclude the season, I thought it fitting to discuss the topic of selling your business and I bullet point some really important steps you need to take before signing on the dotted line.
Selling a business isn’t a quick operation and in this episode, I talk about the importance of long term planning and surrounding yourself with a team of trusted advisers. I go through some of the vital things you need to think about and list the necessary documentation you should have in place in order to maximise the value of your business. I then discuss the process of a sale to give you an idea of what’s involved.
I’m so grateful that so many of you are tuning in and taking away real value from these episodes. I’ll be back with you for season 3 in a couple of weeks. Until then, don’t hesitate to reach out if I can help you in any way.
Topics discussed and where to find them
[1:25]: It’s important that we get the process of selling right so that you maximise the value of the business
[1:45]: Plan, plan, plan. It can take up to a couple of years to sell a business and long term planning could be the key to your success
[2:15]: Talk to your accountant and your lawyer
[2:30]: Make sure all your financials are up to date. Prospective buyers will usually want to see 3 years worth of financials.
[2:50]: Make sure all your contracts and agreements are current and up to date because they add value to your business and will form part of your negotiations
[3:30]: If you have a lease, work with your lawyer to determine the process of assigning your lease to an incoming buyer
[4:00]: Make sure all procedures and policies are up to date and current and properly in place
[4:25]: Decide what’s for sale. Determine the value of the goodwill of your business, the plant and equipment you own and intellectual property
[5:00]: Determine the value of your business. It’s not necessarily a quick process so long term planning is really vital.
[5:25]: When it’s time to start negotiating with buyers, decide if you’re going to engage an agent to help you.
[5:49]: Take care of your employees. Ask them if they want to stay in the business or move on.
[6:25]: Get in touch with your business lawyer to prepare the contracts, exchange and complete
[7:30]: Recap