Selling a business is a critical event that may occur only once in a lifetime. This is an event when you can’t afford to make a mistake. Small business owners need basic guidance from someone who doesn’t have a stake in the sale of their business. Moving On: Getting the Most from the Sale of Your Small Business is a straightforward, highly pragmatic discussion that will guide you through the sales process and help you avoid some of the common pitfalls faced by business owners that lack experience with the process. This book will assist you in finding the right professional help when you are ready.

James F. Grebey, an operations management specialist who provides small business owners with insight into the sales process, helps you recognize pitfalls that could impact your sale negotiations. This book is replete with tips and tools that you will need to drive a successful sale of your business, such as writing the "book" used to market the business, and recommendations to create a working model with a dynamic (what if) spreadsheet to justify your sales projections. Readers will learn where to reach out for qualified professionals that can help with the sale process.

Click here (https://goo.gl/GgLNM8) for the author''s related article "The Benefits of Effective Due Diligence for Investors and Business Owners" featured as the cover article on Divestopedia.

Selling a business is a critical event that may occur only once in a lifetime. This is an event when you can’t afford to make a mistake. Small business owners need basic guidance from someone who doesn’t have a stake in the sale of their business. Moving On: Getting the Most from the Sale of Your Small Business is a straightforward, highly pragmatic discussion that will guide you through the sales process and help you avoid some of the common pitfalls faced by business owners that lack experience with the process. This book will assist you in finding the right professional help when you are ready.

James F. Grebey, an operations management specialist who provides small business owners with insight into the sales process, helps you recognize pitfalls that could impact your sale negotiations. This book is replete with tips and tools that you will need to drive a successful sale of your business, such as writing the "book" used to market the business, and recommendations to create a working model with a dynamic (what if) spreadsheet to justify your sales projections. Readers will learn where to reach out for qualified professionals that can help with the sale process.

Click here (https://goo.gl/GgLNM8) for the author's related article "The Benefits of Effective Due Diligence for Investors and Business Owners" featured as the cover article on Divestopedia.

Chapter 1: Let’s Have a Conversation  1

Shadow of the Missing Owner  3

Staying In or Getting Out  4

Who Will This Book Help?  7

Chapter 2: Avoiding Seller’s Remorse  9

Why Are You Selling Your Business?  10

Retirement  11

Stepping Up  11

Getting Out from Under  12

Partial Exits  13

Your Goal Is to Maximize the Value of Your Business  14

Not Every Business Can Be Sold  14

Can I Sell My Business If It Has “Warts”?  17

Why Do I Need to Position My Business to Sell It?  19

I’m Really Busy—How Much of My Time Will It Take to Prepare My

Business?  21

How Long Will It Take to Sell My Business?  22

And a Final Consideration  23

Jim’s Bakery Example: Overview  23

Chapter 3: The Sales Process  27

Sales Process Tasks  28

Breaking Down the Steps  29

The Decision to Sell  30

Identify Your Transition Team  30

Position Your Business  31

Interview Bankers and Brokers  31

Listing  32

Prepare Marketing Materials  32

Create a List of Potential Buyers  32

Qualify and Down Select Buyers  34

Letter of Intent (LOI) and/or Purchase Agreement  34

Buyer’s Due Diligence  35

Closing  37

Transition Support  37

Chapter 4: Start Thinking about the Value of Your Business  39

Make Sure Buyers Have the Correct Image of Your Business  39

Does Your Business Have “Curb Appeal?”  40

Be Prepared to Demonstrate Your Business in Operation  43

Talking to Your Employees  44

Jim’s Bakery Example  47

Chapter 5: Who Are Your Buyers?  49

Business Buyers Are Not Impulse Buyers  49

Qualified Buyers  50

Looking for Strategic Buyers  51

Looking for Financial Buyers  53

Get to Know Your Buyer  54

Be Open to “Earn-Outs” and “Stock Swaps”  55

A Word about Ethics  57

Jim’s Bakery Example  58

Chapter 6: Marketing Your Business  61

Where Are Buyers for Your Business Going to Be Found?  61

How Will You Market Your Business?  63

Getting Professional Help  63

Selecting a Sales Agent/Intermediary  64

Having Your Say  65

Marketing Materials  66

Market Relevance  66

Know Your Competition  69

Markets Are Dynamic  71

Your Business Is for Sale. Shhhh, Be Quiet, Shut up!  72

Down Select  73

The Single Buyer Slump  75

Jim’s Bakery Example  76

Chapter 7: Preparing for a Due Diligence Financial Assessment  77

If You Want to Sell Your Business Get Your Head out of the Financial

Sand  78

Putting your Financial House in Order  81

The Dichotomy Dilemma  84

Recasting Your Financials  86

Third-Party Audits  87

Looking Toward the Future  88

Future Performance Should Be Based on a Solid Foundation  90

Jim’s Bakery Example  93

Chapter 8: Preparing for a Due Diligence Legal Assessment  95

Legal Positioning Casts a Wide Net  97

Create a Milestone Calendar  98

Government Regulatory Compliance  100

Intellectual Property  101

Patents  101

Trademarks  102

Copyrights  102

Intellectual Property (IP) Assignment  102

Capturing IP  103

IP Violations Can Cost You  104

Jim’s Bakery Example  105

Chapter 9: Preparing for a Due Diligence Operations Assessment  107

Start an Internal Risk/Opportunity Management Program for Your

Business  109

What Is the Scope of the Enterprise?  111

Preparing for a Customer Satisfaction Infrastructure Assessment  112

Preparing for a Production/Services Infrastructure Assessment  113

Preparing for a Sales and Marketing Infrastructure Assessment  114

Preparing for an Organizational Infrastructure Assessment  116

Prepare an Organization Chart  116

Don’t Overlook the Informal Organizational Infrastructure  118

Preparing for a Personnel Infrastructure Assessment  119

Preparing for a Financial Operations Infrastructure Assessment  121

Preparing for a Legal Operations Infrastructure Assessment  123

Preparing for an Information Management Infrastructure

Assessment  124

Preparing for an Institutionalized Processes Infrastructure

Assessment  126

Jim’s Bakery Example  127

Jim’s Production/Services Infrastructure Preparation Example  128

Jim’s Sales and Marketing Infrastructure Preparation Example  128

Jim’s Organizational Infrastructure Preparation Example  128

Jim’s Bakery Personnel Infrastructure Preparation Example  129

Jim’s Bakery Financial Operations Infrastructure Preparation

Example  130

Jim’s Bakery Legal Operations Infrastructure Preparation

Example  130

Jim’s Bakery Information Management Infrastructure Preparation

Example  130

Jim’s Bakery Institutionalized Processes Infrastructure Preparation

Example  131

Chapter 10: Due Diligence  133

Due Diligence Is a Continuation of Negotiations  133

The Due Diligence Process  134

Document List  135

Preparing an Asset List  136

Tangible Assets  137

Intangible Assets  137

Preparing for the Due Diligence On-Site Assessment  138

It’s a Good Time to Build the Relationship  139

Post–On-Site Activity  140

Jim’s Bakery Example  141

Chapter 11: Describing Your Business Model  143

Prepare an Elevator Speech  144

Prepare a Written Description of Your Business Model  144

Beware—Business Models Change  146

The Franchise Business Model  148

Strategic Decisions Should Be Tested by the Business Model  148

Business Models Affect Valuations  150

Make an aaS of Yourself  151

Jim’s Bakery Example  152

Jim’s Bakery Business Model  153

Chapter 12: Writing Your “Book”  155

Your Book Is a Business Plan and a Marketing Proposal  155

Using a Third Party to Write Your Book  156

Generating Content for Your Book  157

Your Book Provides the Pith of your Business  157

How Long Should Your Book Be?  158

Book Outline  160

Overview  160

Market  161

Competition  162

Business Model  162

Product Descriptions  163

Sales Performance and Projections  163

Operational Description  163

Financial Summary  164

Protecting Your Work  165

Create a Short Handout  166

Jim’s Bakery Example  166

Chapter 13: Create a Virtual Model of Your Business  167

Your Financial Reports Should Be Your Greatest Sales Tool  168

Creating a Spreadsheet Model of Your Business  169

Use Linked Spreadsheets for Greater Fidelity  170

Monthly “Actual” Input  172

Jim’s Bakery Example  172

Chapter 14: Valuation  177

Financial Analysis and Certified Appraisers  179

Value vs. Price  180

Use Caution Applying Metrics  181

Automation Can Help  183

How Can a Professional Appraiser Help You?  183

Valuation References  185

Jim’s Bakery Example  185

Chapter 15: Partners, Vendors, and Other People Who Care  187

Cleaning up the Ownership of Your Business  188

Prior Investors  190

Outstanding Debt  191

Vendors and Critical Suppliers  191

Remove Any Blurred Lines  193

Chapter 16: Who Are the Deal Makers?  195

Finding Professional Help  195

Business Brokers  196

Investment Bankers  197

Types of Buyers and Investors  198

Banks  198

Venture Capital Companies  198

Angels  199

Beware of Sharks  200

Chapter 17: Loose Ends and New Beginnings  201

Transition Planning  201

Future Insurance Needs  202

Buyers Change Hats, and You May Too  203

Taxes  203

Asset vs. Equity Sales  204

Lock-outs  205

Taking the High Road  206

Become a Consultant  206

Appendix A: Example Marketing Handout  209

Appendix B: Example “Book”  211

Index  231

Selling a business is a critical event that may occur only once in a lifetime. This is an event when you can’t afford to make a mistake. Small business owners need basic guidance from someone who doesn’t have a stake in the sale of their business. Moving On: Getting the Most from the Sale of Your Small Business is a straightforward, highly pragmatic discussion that will guide you through the sales process and help you avoid some of the common pitfalls faced by business owners that lack experience with the process. This book will assist you in finding the right professional help when you are ready.

James F. Grebey, an operations management specialist who provides small business owners with insight into the sales process, helps you recognize pitfalls that could impact your sale negotiations. This book is replete with tips and tools that you will need to drive a successful sale of your business, such as writing the "book" used to market the business, and recommendations to create a working model with a dynamic (what if) spreadsheet to justify your sales projections. Readers will learn where to reach out for qualified professionals that can help with the sale process.

Click here (https://goo.gl/GgLNM8) for the author's related article "The Benefits of Effective Due Diligence for Investors and Business Owners" featured as the cover article on Divestopedia.