Our business is selling your business.
  • Home
  • About Us
    • Buyers
    • WBDC Brochures
  • Sellers
    • You Need to Know >
      • Exit Strategy
      • You Are Not Alone
      • Bo Burlingham
  • Buy A Business
  • Our Blog
  • Contact Us
  • Eric's WarrenBDC Emails
  • Resources
    • DIY Proxy Valuation
    • 75 Things To Do When You Exit Your Business
  • Online Courses
  • Home
  • About Us
    • Buyers
    • WBDC Brochures
  • Sellers
    • You Need to Know >
      • Exit Strategy
      • You Are Not Alone
      • Bo Burlingham
  • Buy A Business
  • Our Blog
  • Contact Us
  • Eric's WarrenBDC Emails
  • Resources
    • DIY Proxy Valuation
    • 75 Things To Do When You Exit Your Business
  • Online Courses

Selling Your Business?

Get Tips & Insights Here

You Never Seriously Thought About Selling The Business. Until Now

1/8/2020

1 Comment

 
selling a business to finance retirement
You Never Seriously Thought About Selling The Business. Until Now

​Like many of our Clients you may have gone south for the holiday break. You caught up with winter friends. Some sold their businesses a while ago, some sold recently and this is their first "I don't have to go back" season and others are like you, still thinking about it. Until now.

You've been promising your spouse and children that transitioning was just around the corner. Or swearing up and down that you'd die with your boots on. Until now.

Boomer aged business Owners are a breed unto themselves. You've worked hard all your life building a company that has for the most part provided you and your family with a pretty good lifestyle. No complaints and no real regrets. Until now.

Selling the business was never required or even considered for financing vacations, cottages, winter homes, the kids education, some side investments, hobbies and any of the many surprises life throws at us. Until now.

The plan was to, at some point, transition out of the business and take it easier, however you define that. No pressure to prepare the business for sale first or serious thought about how much it would bring on the open market. You heard stories of Sellers getting 6, 7 or 10 X ebitda or auctions to buy your company. Fewer Sellers to compete with and more Buyers every day. It all sounded great. Until now.

The reality now is you need to sell the company to finance your retirement. You have no idea how long you or your spouse will live. Therefore no real way of knowing how much you need. Regardless of what you require, Buyers rarely pay 'what you need', unless the business is worth it. Just kidding. They don't care what you need, they pay what the business is worth. Until now.

Let's do the math. 65% of all established businesses in Canada and the US are owned by Boomers - Owners born between 1946-1964 the oldest boomer Owner is 74 and the youngest is 56. Owners are rapidly backing themselves into a corner. Many businesses never sell. You thought you had plenty of time. You assumed or hoped you would get what the business was worth. Until now.

It was a Sellers market, as many Owners have not started the process or sold yet. To put it into real terms 90-95% have not sold and 80+% don't even have a transition plan for selling their business or a team to help sell it. So to be clear, you were in the driver's seat if you had a well run, solid and profitable business with a big future and a great team running it without your participation. You planned and prepared for transition and a successful sale was in your future. Until now.

While you may be many steps above the other Sellers you may have waited a little too long. Buyers are now taking charge. They know you need to sell because of age, lack of enthusiasm, other interests, no successor etc etc. etc. They also know your fellow boomer aged Owners need to sell. As a Seller, you are running out of runway and have no choice but to take action. Today it has become a Buyers market. They are smart, savvy and experienced Buyers. They know way more about this than you do. Or your long time corporate Lawyer or Accountant who never sold a business. Think trading baseball cards with your older sibling.

Next Step - Get Advice, You Can't Do This Alone

One of the most valuable lessons I've learned from studying successful people is that no matter how famous or how rich they are, somewhere in their lives is a coach, a mentor, or an adviser. Successful people accept they will make mistakes and lots of them. They also seek out help to reduce and overcome the inevitable failures. It's part of the process.

The first thing a new President does is establish their advisory group. This applies to presidents of companies or countries. You can't possibly know what to do in every circumstance, particularly if these are new to you. Smart, successful people surround themselves with even smarter associates. Getting guidance is an important element in your future success. Take the first step and get advice.

From my heart, Eric Gilboord
eric@warrenbdc.com
1 Comment
MICHAEL DALLAN link
1/9/2020 12:32:23 pm

Very Interesting,
Please keep me posted, maybe it is time to move on.

Thanks

Michael

Reply



Leave a Reply.

    Picture
    Sign up for weekly tips and insights. Click Pic
    Picture

    SellYourBusiness
    4More.com

    Picture
    Picture
    Picture
    Sample & toc

    Picture
    Picture

    Archives

    February 2023
    January 2023
    December 2022
    September 2022
    June 2022
    March 2022
    February 2022
    January 2022
    November 2021
    June 2021
    April 2021
    February 2021
    May 2020
    April 2020
    January 2020
    December 2019
    November 2019
    October 2019
    July 2019
    May 2019
    April 2019
    March 2019
    November 2018
    July 2018
    March 2018
    February 2018
    January 2018
    July 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    September 2016
    August 2016
    June 2016
    May 2016
    April 2016
    March 2016
    December 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    April 2015
    February 2015
    January 2015
    December 2014
    November 2014
    October 2014
    September 2014
    August 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    September 2013
    August 2013
    June 2013
    May 2013
    April 2013
    March 2013
    January 2013
    December 2012
    November 2012
    October 2012
    September 2012
    August 2012
    July 2012
    June 2012

    Categories

    All
    Business Lessons
    Life Lessons
    Life Lessons
    Marketing
    Selling A Business

Picture
Our Business Is Selling Your Business
​Contact Us  or call  416-270-2466

Sign Up For Eric's Emails