When to sell? How owners make the decision, or not.

Selling a private business requires an owner to make some big decisions. Some think waiting preserves their options, although choosing not to sell means continuing to carry the risks and opportunities of the business. Waiting can sometimes create additional value. Sometimes it may not. Early on in our interactions with owners we ask them a series of questions, including how far over the horizon they can see in terms of their business, their market, their competitors. We then overlay their personal position, including their health, their family setup, the personal financial position and aspirations. This wholistic approach typically forms the basis of a deeper analysis of if, how and when to pull the trigger. Ultimately its a decision made by a business owner, built to meet their own unique circumstances. It is often a deeply personal decision making process that needs the requisite time to fully explore. On the flip side, unfortunately, there are others that don’t have the luxury of time, as the decision to sell is driven by externalities, typically linked to a health issue, family issue or financial pressure.