Death by a Thousand Cuts

Seller Expectations
Written By Mike Simpson

If you're a founder contemplating selling your company, and a financial sponsor, like a private equity firm or fund reaches out to learn more about your business, beware endless requests from them in hopes of an offer...it's always distracting and rarely fruitful! Here's a 3 1/2-minute primer that will save you a lot of time and potentially make you a lot of $$!

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6 Secrets to Selling Your Business

Featured
M&A Insight: Seller's Discretionary Earnings
Selling Your Business, Private Equity
M&A Insight: Seller's Discretionary Earnings
Selling Your Business, Private Equity

Are you considering selling your business but unsure whether an asset purchase or a stock purchase is the right path for you? Understanding these options is critical, as they significantly impact both the financial outcome of the transaction and the responsibilities transferred to the buyer.

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Selling Your Business, Private Equity
Alert: Beware of Opportunistic Buyers
Selling Your Business, Investment Banker, Private Equity, Predatory Buyers, Business Buyer Types
Alert: Beware of Opportunistic Buyers
Selling Your Business, Investment Banker, Private Equity, Predatory Buyers, Business Buyer Types

As founders consider exiting their businesses, it's crucial to understand the landscape of potential buyers, which can broadly be categorized into strategic and financial types.

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Selling Your Business, Investment Banker, Private Equity, Predatory Buyers, Business Buyer Types
Leverage in M&A Deals: The Importance of Multiple Buyers
Selling Your Business, Investment Banker, Private Equity, Predatory Buyers, Business Buyer Types
Leverage in M&A Deals: The Importance of Multiple Buyers
Selling Your Business, Investment Banker, Private Equity, Predatory Buyers, Business Buyer Types

Without multiple interested parties, you're stuck being a terms taker instead of a terms maker. But fear not! There's hope on the horizon.

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Selling Your Business, Investment Banker, Private Equity, Predatory Buyers, Business Buyer Types
The Difference Between EBIT and EBITDA
Selling Your Business, Selling Shares, Investment Banker, Private Equity, EBITDA
The Difference Between EBIT and EBITDA
Selling Your Business, Selling Shares, Investment Banker, Private Equity, EBITDA

In the financial landscape, two key metrics often stand at the forefront of business valuation and analysis: EBIT (Earnings Before Interest and Taxes) and EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization)

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Selling Your Business, Selling Shares, Investment Banker, Private Equity, EBITDA
Understanding Ownership When Selling a Business: “Cap Table” & Corporate Documents
Selling Your Business, Private Equity, EBITDA, Business Assets
Understanding Ownership When Selling a Business: “Cap Table” & Corporate Documents
Selling Your Business, Private Equity, EBITDA, Business Assets

Are you the sole or primary owner of an S-Corp. or LLC? Thinking you don't have a cap table or don't even know the term? Here's a critical heads-up going into a sale -- you have to prove it with documentation.

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Selling Your Business, Private Equity, EBITDA, Business Assets
Guiding Your Sale: Structure & Non-Cash Payments
Private Equity, Selling Your Business, esops
Guiding Your Sale: Structure & Non-Cash Payments
Private Equity, Selling Your Business, esops

Turn the tables on buyers views on these terms by making sure they know that you have plenty of belief in the future of your company but maybe you're not willing to let your net worth depend on their ability to run it!

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Private Equity, Selling Your Business, esops
Mike Simpson https://variant.media
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