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Shane Campbell, B2B CFO partner - When should I sell my business?
Hello, I'm Shane Campbell, B2B CFO partner.
As an exit strategy partner with B2B CFO, clients often ask me, "When is the right time to sell my
company?"
This is a very delicate question,
because selling your business is a major life decision.
According to the well respected Woodbridge Group, business
owners need to come to the decision to sell after a long period of reflection
so that they are mentally and
emotionally prepared to transfer their company to new owners and move on to other
pursuits.
According to Woodbridge
business owners should first consider their psychological readiness to let go
of their business and create post transaction vision for their life.
The second consideration
in knowing when to sell is to determine whether the business is on an upswing
and has legs.
This is different from trying to time the sale perfectly
out of greed
and wanting to sell at the peak.
The best time to sell a company
is when its operating efficiently and profitably
so its performance is sustainable into the future so
any prospective buyer can easily see this.
By following this advice business owner will know
that they're ready to close out this chapter in their lives and move on
to new and interesting challenges.
This is the initial counsel I give to my clients who've asked the question
"When is the right time to sell my company?"
Then we get to work creating value in the company
for that future sale that will inevitably will come. I hope this helps. thanks and have
a great day.