Plan for the (Almost) Inevitable

Plan for the (Almost) Inevitable


Sooner or later, almost all business owners think about selling their business:

  • Startups are often motivated by get-rich-quick visions of the next great thing.
  • Serial entrepreneurs may get bored and want more time and cash for a new venture.
  • Strategic investors may decide to look for greater returns in a different business.
  • And long-time owners often view their business as a primary source of retirement funding.


Every business owner can benefit from careful planning leading up to the sale. For example, if a business is taking full advantage of its legal tax deductions, the company will have less net income. An owner looking to clean up the financials might want to taper back on deductions for several years prior to the anticipated sale. Although the business would pay more in income taxes, it would also show increased net income and thus be more attractive to a potential buyer.

In addition to maximizing value, business owners will want to think carefully about how to structure a potential sale. A straightforward sale to a third party typically involves selling either the assets of the business or the legal entity (usually a corporation or a limited liability company). More complicated transfers for larger businesses might involve creation of an employee stock ownership plan (ESOP), which allows the company’s workers to acquire the company’s shares.

Whatever your situation, it’s not too early to start thinking about the future. It’s your business. Make the most of it.

Welcome Aboard

Welcome Aboard

Welcome to the inaugural post of Sell Your Business for More, a new blog which will focus on the when, how, and why of selling a business. We’ll cover a lot of ground along the way, with helpful tips and warnings about traps to maximize the value of your business and position yourself to best achieve your goals.

Topics will include the timing of a sale, how to structure the transaction, and steps to take in the time leading up to the sale to allow for a smooth exit. And with the privilege of editorial discretion, we’ll more than likely meander off into some other discussions too.

As part of the blogosphere, we’ll also be on the lookout for helpful links to other blogs and resources. We are hoping to post contributions from guest bloggers on tax planning, marketing, valuation methods, and other related issues which fall outside of our professional expertise. But most of all, we’ll be looking to engage you, the reader, to find out what resonates, what doesn’t, and how we can help you run your business better.

At this point, we’re thinking about posting blog entries twice a week, most likely on Tuesday and Thursday. We’re excited to engage readers in a slightly different medium and hope that you will provide feedback in the form of comments, questions, or requests for specific topics. Our monthly e-newsletter will continue with articles of general interest to business owners.