Carl Gould built and sold three companies before he transitioned into business coaching. Today, his coaching methodology is shaped by lessons he learned from his own deals. Carl has done deals in marketing and event planning; messenger services; fuel delivery; landscaping; contracting and technology. But his lessons are applicable to any kind of deals on the buy-side or the sell-side.
Get Creative With Your Deal Strategy
When Carl sold his landscaping business, he was able to get a premium for the long-term contracts and relationships he had built. Similarly, his construction company also had monthly recurring revenue and there were more assets to sell. Carl continued to receive a commission for prospects he sent to the new owners because he used his brand as a springboard during the negotiations. Your brand can be leveraged post-closing to add value. Like Carl, you can sell your business and get out of the daily responsibilities you hate, while continuing to do the parts you enjoy and getting paid for it.
Plan Your Exit Strategy in Advance
If you want to be fully-out right away, you are likely to leave a lot of value on the table. This type of deal requires intense preparation and you will benefit by expanding the timeline. This is why Carl has seen such a dramatic shift in the deal landscape today; business owners have realized that they might not get the money they were anticipating and they don’t want to give up their passion. By planning your exit far in advance, you get more options because you’re coming from a position of strength. The same can be said for getting your management team on board. The key is determining how much of the revenue relies on the owner and addressing that as you prepare. Not all profit dollars are created equal.
Corey Kupfer is an expert strategist, negotiator and dealmaker with more than 30 years of professional deal-making and negotiating experience. He is a successful entrepreneur, attorney, consultant, author and professional speaker. He is also the creator and host of the Fueling Deals Podcast.
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