We spend a lot of time with owner operators helping them plan their transition strategies.
There is often a strong emotional connection for a business from the owner that has built the business from scratch and devoted many hours – possibly decades – of their life to making it grow.
When a buyer gets involved in the assessment of their business it is hard not to take things personally as they tend to poke and pry deeply into the business operations, weaknesses, or areas that could be improved. Often, owners get upset at this feedback, as they have built a great business that has provided well for them and their families for many years.
It is important not to take this feedback personally and stay focused on the end result: your exit from the business. The buyer will approach their assessment of your business cautiously and get deep into details that may seem irrelevant to you. They will turn over every rock and stone to understand your business fully and determine anything that seems too concerning or adds risks to themselves and the money that they plan to invest.
Often the buyers are financial or strategic buyers and return on investment (ROI) will be key to their decision-making.
Finding a buyer, one with the skills, financial capability, motivation to buy your business is a challenge in itself. Working with them to understand and help mitigate their concerns by sharing and explaining the details of your company in-depth is the best way to help them overcome their apprehensions and view your business in the confident, optimistic way you do!