Don't offer equity to management team; offer a stay bonus to key employees who stay through acquisition Ch 13 - a sellable company Print Technology makes letter of intent to buy Stapleton Agency for 6x. This was a solid, little piece of work. I wasn't sure if the story approach would work for me initially but it did a wonderful job. Thanks John Brilliant book about how to make your business survive without you. Regardless, any entrepreneur would be well served by consuming this fun, productive story. Has Tony, a crappy copywriter.
As an experienced entrepreneur who built and sold businesses in the past I regret I hadn't read the book a few years earlier. If the business loses the client, then a big chunk of the business value walks out the door. Avoid An Advisor Who Offers To Broker A Discussion With A Single Client. The fictional story follows Alex, who runs a marketing design firm that he decides he wants to sell. I really appreciated how easy and smooth of a read it was; finished in 2h, the story made it very relatable to my own situation and shed lights on quite a few problems I had in blind spots.
Goodwill is so subjective and ephemeral that when valuing a company. Being sellable is merely the scorecard. It was a very good book, but seemed to take forever to get to its key points. Very helpful information on assessing your business model, how service business differ from product businesses, and how to get the best of both worlds. Even if the end goal isn't to sell your business, getting it ready to sell is where the real value lies. In fact the author chooses to use this exact term in almost every chapter until the culmination of the book. Convert offers to a binding deal - Beware of earn-outs Now for the hard part, putting these ideas into action.
Many organizations even have annual sales drives or competitions to quantify the level of performance and measure who is the best. Does the electronic version of the book completely replace the paper version? I think this book cannot just serve as a guide on how to sell your business but offers great insight into how to scale your business. Pay the reward in two or more installments only to those who stay so that you ensure your key staff stays on through the transition. Launch a long-term incentive plan for managers 6. In order to think of a service firm a product firm one must start by changing vocabulary: Clients become customers and the firm becomes the business. You Need To Ensure Buyer Competition Sometimes, advisors are scouts for favoured clients.
Warrilow tells a story about Alex, the founder of a marketing services agency, who wants to sell his company. Take some time to figure out how many pipeline prospects will likely lead to sales. A printer that requires specific print cartridges, or Gillette electric raiser that requires specifics 4 Renewable Subscriptions - ie magazine subscription. Selling A Consultancy Some businesses are more difficult to sell than others. Modern smartphones and computers can read files of any format.
You need at least two years of financial statements reflecting your use of the standardized offering model before you sell your company. Hire a sales team - Remove yourself from selling the product - Hire 2 sales employees. Pitched the process with confidence. Relying too heavily on one client is risky and will turn off potential buyers. Otherwise you create a risk to your revenue streams if that client were to disappear, leaving you with a significant loss of income. The author did a good job of making me look at his points from a different perspective.
Lastly, I think the author makes this a very enjoyable read by telling the story of an entrepreneur actually going through the exact outline. Two Sales Reps Are Always Better Than One The reasoning for this is that sales people are , so will compete against each other, which benefits the business. Can they be cancelled or exited? Find an adviser for whom you will be neither their largest nor their smallest client. Book describes many problems I have faced in last months, some of are still unresolved. Part of what makes it so accessible is that the story is told in a narrative format, making it easy to follow and apply. I feel a little bad not giving it five stars like many other goodreaders, but the 5-star review, for me, is reserved for those books which are packed with content.
This time is necessary for searching and sorting links. The narrative is engaging, and you learn a wealth of practical business wisdom along the way. Personally, I found this book to be a great read, with his insight helping solidify a lot of thoughts I'm tossing up around the future of my business. All in all, it was an enjoyable read, with solid points. In the first 113 pages the author takes the reader through the life and times of our protagonist, Alex Stapleton, of, yes, The Stapleton Agency.