Hello, dreamers, schemers, and builders of balance sheets. Let’s start with a question: Why did you start your business?
For some, it was about the thrill of creating cash flow—the intoxicating idea of turning your skills into a revenue stream. For others, it was about freedom, the chance to be your own boss and ditch the 9-to-5 grind. Then there are the romantics, chasing a passion or building a legacy to leave behind.
But for many—whether they admit it or not—the real endgame is this: to sell the business and achieve financial freedom. To turn years of hard work into a massive payday that funds your next venture, your dream retirement, or your collection of vintage Ferraris (no judgment).
Here’s the thing: selling your business is the real entrepreneurial finish line. It’s the moment your dream transforms from late nights and P&L stress into an actual, tangible reward. Yet, here’s the buzzkill statistic: 90% of businesses never sell.
Why? Well, there’s a long list of reasons, but most of them boil down to one brutal truth: your business probably isn’t ready to sell. And that’s where things get interesting.
Why an Exit Is the Most Important (and Most Neglected) Part of Business Ownership
If we’re being honest, most business owners don’t think about their exit strategy until it’s way too late. And that’s a problem, because your ability to exit gracefully—and profitably—is the difference between building something valuable and building something that’s just… there.
Think of it this way: Owning a business is like owning a house. Sure, you can live in it, enjoy it, and remodel it to your heart’s content. But if you ever want to sell, the first question buyers will ask is, “What’s it worth to me?” Not to you—to them.
Now here’s the bad news: Most businesses fail that test. And it’s not because they aren’t good businesses or because their owners aren’t talented. It’s because the business wasn’t designed to be someone else’s dream. It was designed to be yours.
If your business isn’t built to sell, it will likely become another statistic. And that’s a tragedy for small business owners who’ve poured their lives into building something meaningful.
Why Most Businesses Don’t Sell
Let’s dig into this because the reasons are as fascinating as they are frustrating.
1. Your Business Is Too Small
Here’s a harsh truth: Size matters when it comes to selling a business. Buyers love businesses that are big, scalable, and profitable. If your business is valued under $5 million, finding a buyer is like finding a needle in a haystack—and the needle has student loans and no appetite for risk.
Banks won’t finance these deals, and buyers with cash are few and far between. Once your business crosses the $10 million mark, the pool gets bigger. Go above $50 million, and suddenly private equity funds, corporate buyers, and institutional investors are sliding into your DMs.
Pro Tip: If you’re wondering how to scale your business to meet these thresholds, M&A strategies can help you grow revenue and market share quickly.
2. It’s Glued to You
Buyers don’t want to inherit you. They want a business that runs like clockwork, with or without the original mastermind at the helm. If your business depends on your charm, your relationships, or your ability to troubleshoot the printer, it’s not a business—it’s a job.
Solution: Focus on operational independence by building systems, training a strong management team, and documenting processes. These steps are critical for preparing your business for sale.
3. Your Financials Are a Hot Mess
Let’s talk numbers. If your financials look like a Picasso painting—brilliant but impossible to decipher—buyers will walk away. Most small businesses optimize for tax savings, which is fine for day-to-day operations but terrible for a sale. Buyers need clarity, consistency, and confidence that your numbers are real, replicable, and growth-oriented.
Clean financial reporting is a cornerstone of business valuation. If you want to maximize your business’s appeal, professionalize your financials by working with a CFO or advisor.
4. The Market Is Ruthless
The business-for-sale market isn’t like real estate, where demand is relatively predictable. Two trends are working against you:
- Aging Boomers: Millions of business owners are retiring, flooding the market.
- Shifting Buyer Preferences: Younger generations want tech, AI, and e-commerce—not traditional SMBs.
The result? A crowded market with fewer interested buyers, especially for businesses that don’t scream “future-proof.”
5. Buyer Financing Is Nonexistent
In the U.S., buyers can tap into SBA loans to finance acquisitions, which props up the market. In Australia? Not so much. Without financing options, even motivated buyers are often stuck on the sidelines.
The Solution: Scaling Through M&A
If you’re serious about selling your business, the fastest way to make it irresistible to buyers is to scale through M&A (mergers and acquisitions). M&A allows you to grow revenue, diversify risk, and position your business as a strategic asset that buyers can’t resist.
Why M&A Works
- It Adds Instant Size and Scale
Growing organically is like watching grass grow. Acquiring complementary businesses, on the other hand, is like buying a whole lawn. You can double your revenue, expand your market share, and hit those $10M+ thresholds that buyers love—almost overnight. - It De-Risks Your Business
Buyers hate risk. M&A helps you diversify your customer base, products, and revenue streams. It also strengthens your management team, making your business less dependent on you. - It Commands Higher Multiples
Bigger businesses sell for higher multiples, period. Private equity funds and corporate buyers pay premiums for scale, diversification, and growth potential. - It Makes You Stand Out
In a crowded market, M&A turns your business from “meh” to “must-have.” It signals to buyers that you’re serious, strategic, and ready to compete at a higher level.
How I Help Entrepreneurs Build Sale-Ready Businesses
Here’s where I come in. My job is to help you:
- Build a Playbook: We’ll create a step-by-step strategy for scaling through M&A and preparing your business for sale.
- Find the Right Deals: I’ll identify acquisition targets that align with your goals and make strategic sense.
- Professionalize Your Operations: From financials to team building, I’ll ensure your business is irresistible to buyers.
Think of me as your guide through the M&A jungle—a mix of Sherpa, strategist, and deal whisperer.
Your Next Steps
If you’re serious about selling your business—and selling it for what it’s worth—here’s what to do:
- Schedule a Call: Let’s talk about where your business is now and where you want it to be.
- Build Your Playbook: Together, we’ll map out your path to scale and exit.
- Make It Happen: With the right strategy, execution, and guidance, we’ll turn your business into a buyer magnet.
Final Thought
Selling your business isn’t just a milestone—it’s the whole point of the game. Done right, it’s your golden ticket to financial freedom, your chance to turn years of effort into generational wealth.
Don’t leave it to chance. Let’s make your business not just sellable, but irresistible.
P.S. The market doesn’t wait. The best time to start planning your exit was five years ago. The second-best time is today. Click here to start.
