The dream of most small business owners is to exit their business rich. Many of them have over 80% of their personal wealth tied up in their company’s value, but statistics show only about 30% will end up selling their business to an outside buyer.
Interview with Author Sharon Lechter
Sharon says that most owners think their company is worth more than it is. She explains that there is a difference between a “mission brand and a celebrity brand”. Sharon says if you want real long term value, you must build it independent from what you contribute. She insists that “entrepreneurs are not the best operators."
According to Sharon, the biggest mistakes small companies make that lead to unnecessary failure in selling their company is that they do not establish the best first impression; they don’t have all their financials prepared.
Sharon suggests hiring a business broker since selling is a very emotional process. Have someone that does not have an emotional connection to the sale is a benefit; “High emotion (in this process) is low intelligence.”
"[Finding] someone that does not have an emotional connection to the sale is a benefit..."
And we're here to help you sell your business!
Steve Niehaus, MBA, CBI, CM&AP