Prepare to Succeed

It is often said that most successful entrepreneurs begin to prepare their companies for sale on the first day of business. While this comment should not be taken literally, it does highlight a key point that the characteristics, which will enhance your company’s marketability, take time to develop. It takes more than a little touch-up or a coat of paint to sell your business at the price you feel it is worth. The presence of several of the following characteristics will significantly enhance your company’s marketability and make it more likely that you will obtain a strong offer:

• Depth of management
• Clear top management succession
• History of audited financial statements
• Consistent reinvestment of earnings into operations
• Discipline of regular business plans / Projections

To the extent that selling your company is being planned for a future date, addressing the above attributes and incorporating them into your operations now will allow you meet your financial objectives when the time comes to sell.

In the coming weeks I will write about some Grooming Tips you can use to get your business ready for sale.