Selling a company may be the biggest transaction of an owner’s life. That is exactly why a sale process should not be started just because someone has shown interest or the market seems active.
Sometimes the best decision is not to sell. For example, when the company depends too heavily on the owner, management reporting is not reliable, profitability has temporarily dipped, the growth story is unclear or the owner is going into the deal with no alternative options.
A buyer assesses risk. If risks have not been prepared for, they turn into price pressure, additional conditions or a deal that falls through. Being ready for sale is not just about gathering documents; it is about protecting the value of the company before negotiations begin.
Before starting a sale process, it is worth asking: are we selling the company in the best possible shape, or giving the buyer a reason to undervalue it?
Postponing a sale should come with a specific goal and deadline: for example, putting stable monthly reporting in place, reducing dependence on a key customer or demonstrating normalised profitability over several quarters. This makes it possible to compare a sale today with a sale after the improvements.
WIZEN helps assess sale readiness and put together a value-creation plan before the sale process begins.