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Two Mistakes to Avoid When Negotiating a Deal

I’ve been helping clients buy and sell businesses for over two decades now and have been involved in hundreds of negotiations. If you asked me to name, off the top of my head, two mistakes most often made by clients when negotiating a deal, here’s what I’d say they are: 1. Failing to Focus on [...]

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Understanding How Buyers Think – Key Insights That Can Help You Sell Your Business For the Best Possible Terms

Many years ago, Sun Tzu, one of the greatest and most quoted military strategists of all time, said that one of the keys to winning any war is to “know your enemy.”  In the context of a business sale, this nugget of wisdom applies with equal force: “know your Buyer.” Let me be more specific. [...]

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How to Prepare Your Business for a Big Sale

If you’ve ever thought about wanting to sell your business, you’re going to want to watch this interview I did for the Wired To Grow Show with Bruce Johnson, a business growth consultant. In this interview, I outline several key drivers that can dramatically increase the value of the sale of your business (and when I say, dramatically, I mean [...]

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Earnouts (Part III): Key Negotiation Points

If you’re in the process of buying or selling a company, and you’ve decided or agreed to include an earnout in your deal, your next step is to determine the key terms of the earnout based on the outcome you’d like to achieve.  Being proactive about this (somewhat challenging) task will put you in position to negotiate the [...]

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Earnouts (Part II): Good For Your Deal?

If you’re in the process of buying or selling a company, there’s a very good chance you’ll be faced with the decision of whether to include an earnout in your deal.  If you talk to people who have used earnouts in past deals, you just might come away with the conclusion that your “decision” should more [...]

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Earnouts (Part I): What is an Earnout? And Why is it Useful?

This post is the first in a series on the subject of earnouts.  In the world of buying and selling companies, earnouts are often used, frequently discussed, often taken for granted, and commonly misunderstood.  But before going any further on those points, let’s be clear on the basics. 1.  What is an Earnout?  An earnout [...]

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Would A Buyer Agree That Your Business Is Truly Great to Own?

Many CEOs and business owners will agree that the benefits of business ownership far outweigh the related struggles and daily challenges – in brief, they think their businesses are great to own.  And here’s a critical point for you business owners who would one day like to sell your business for a high premium:  many [...]

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Four Things to Do Right Now if you Plan to Sell Your Business in the Next 12 Months

Are you planning to sell your business in the next 12 months?  If the answer to that question is “yes,” then here are four things you should do (or start doing) right now: 1.    Be sure your company can run without you.  This is a big one if you want to maximize the purchase price for [...]

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Five Key Points to Consider Before Selling Your Business

Are you thinking about selling your business?  If so, there are undoubtedly dozens if not hundreds of questions, concerns, issues and action items flying through your mind.  This is a big and potentially complicated and challenging question.  Over many years of talking with business owners who are at the stage of deciding whether to sell, [...]

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