EXIT STRATEGY CONTINUED

​Blog 27
Exit Strategy Continued

I just attended another network event last Friday morning and the featured panel consisted of an Investment Banker and two of his former clients who sold their company's, all based on the topic, as was my last blog (26) on EXIT STRATEGY posted on this website however, my Blog did not highlight some other strategies that are equally as important as those that I mentioned.

Here is what the panel added, and I concur if you are contemplating selling your company:

• Be sure you consider diversifying, internally or through acquisition/merger
• Hire a CPA firm to certify your accounting, so there are no irregularities
• Concentrate on building up profits and increasing EBITDA asap
• Try to stabilize erratic highs and lows in all sectors of your business
• Create proprietary IP including patents, copyrights, formulas etc.
• Don't wait too long to decide to sell your business and wind-up trying when you and/or the country are in a down-turn
• Don't over price your business no matter how subjective you feel, let the broker/consultant or investment banker tell you what your selling price should be, as they know best and, in many cases, even get more than you think
• Finally, hire a proven consultant, no matter what they call themselves to help you prepare your company for sale. 

We here at M & A call that process STAGING, which is a process we use to help our clients prepare to make the right decision for their company and most importantly their family. 

This STAGING, as I referenced before is like a STAGER a home owner hires, at the request of the R/E agent to prepare the home to sell for maximum market amount. It may be something simple like painting or more complicated like major repairs, even upgrading the kitchen or bathroom; well that is what we do, go through a checklist including the advice we gave in our last blog and the advice in the above section, plus much more, if applicable.

Just make that call before it is too late, remember your CONSULTANT is like your HEART DOCTOR, both have advice that will affect your future.

RONALD MITCHELLETTE

MITCHELLETTE AND ASSOCIATES, LLC
WEBSITE (www.mitchelletteandassociates.com)
Cell: 612-715-9217