Selling your business is like catching a concert from your favorite artist, timing is everything. Show up too early, and you’re stuck watching the roadies set up amps. Show up too late, and you’re catching the last verse from the parking lot.
A great exit happens when you sell from strength, not from stress. Unfortunately, most owners wait until stress has them doing the cha-cha backwards, one step forward, two steps back. So let’s talk about the signals it might be time to sell, and what happens if you miss the window. Below is our “Top 5” Playlist to determine the perfect time to sell your business.
Remember when you loved Monday mornings? Now, If you dread them more than an off-key karaoke version of “Bohemian Rhapsody,” it’s a sign. Passion fuels performance, and buyers can smell burnout like smoke from a backstage fire.
If customers only want you, you’ve basically built a very demanding job for yourself. A buyer wants a business that runs without the owner, otherwise, they’re just buying your calendar. What most business owners do not realize is that the real value of the business is in the systems, connections (i.e., book of business or contracts) and processes.
Need to replace major equipment, overhaul tech, or hire a leadership team to keep growing? Selling before the cliff lets someone else foot that bill, and you pocket the value you’ve already built.
M&A happens in waves. When buyer demand is hot, the smart move is to grab your surfboard and ride it. Waiting for the next wave could leave you paddling in circles.
Valuation Slide – Performance dips, margins shrink, and suddenly your 5x multiple becomes a 3x.
Personal Stress Skyrockets – You’re making reactive decisions instead of strategic ones.
Legacy Risk – If you slow down or step back without a plan, employees and customers may follow suit.
Think of it like holding a hot single too long; by the time you release it, the trend’s moved on, and your big hit is just background noise.
3 years of clean financials?
Business runs without you for at least two weeks?
Key customers diversified?
Lease and contracts transferable?
If you’re nodding along like you just heard your favorite verse, you’re in a strong spot. If not, it’s still worth talking strategy, a little prep now could add serious volume to your sale price.
You don’t have to sell tomorrow, but you do need to start preparing today. The best exits happen when the business is clean, documented, and attractive, and that doesn’t happen overnight.
The right move? Start working with a professional now. A great business broker or wealth advisor can help you map out your exit plan, tighten up your operations, and position you to capture maximum value when the time is right.
Book your Exit Readiness Call or call me at 404-940-5748. Let’s make sure your business is ready for its standing ovation.