Doug Smith, B2B CFO Partner – When to Sell

Doug Smith, B2B CFO Partner, When should I sell my business?

Hello, I’m Doug Smith as an Exit Planning partner with B2B CFO clients often ask me, “When’s the right time to sell my company?” That’s a very delicate question because selling your business is a major life decision.

Many experts believe that business owners need to come to the decision to sell after a period of reflection, so that they are mentally and emotionally prepared to transfer their company to new owners and move on to other pursuits.

I believe business owners must first consider their psychological readiness to let go of their business and create a 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 to sell at the peak. The best time to sell a company is when it is operating efficiently and profitably so its performance is sustainable into the future and any prospective buyer can easily see this.

By following this advice business owners will know when they are readyto close out this chapter in their lives and move onto new and interesting challenges.

This is the initial counsel I give man clients who have asked the question, “When is the right time to sell my company?”

Then we get to work creating value in their company for the future sale that inevitably will come.