What to do when trying to Sell Your Business?
In this interview, we discuss a wide variety of topics with Brian Bornino, the Director of Valuation Services at GBQ Consulting LLC. Mr. Bornino has led, managed, or completed nearly 2,500 valuation engagements during his career and is here to share his wealth of knowledge on the subject. He also discusses exit planning, business appraisals, and how working with various professionals can help you successfully sell your business.
Key Points from our Conversation
- A common challenge is that buyers and sellers oftentimes cannot agree on a company’s potential, which is why transaction prices are often structured based on current or actual performance rather than future performance.
- A good rule of thumb would to begin developing and planning for an exit strategy no less than 3 to 5 years prior to your desired exit.
- The goal is typically to avoid conflict, ensure that the departing shareholder is treated fairly, and ensure the remaining shareholders can continue to operate the business.
- It will be important to interview potential valuation firms before hiring them, and cost should not be the key factor, as better valuation firms are often more expensive.