Mergers And Acquisitions 101: What You Need To Know Before Selling Your Company
MyCity4Her Radio had the pleasure of having Jill Reamer, strategic merger and acquisition expert and founder of Peak Strategy Advisors, Inc., on today’s (November 20) episode of Today’s BusinessWoman. She shared valuable information on the things you need to know before selling your company.
“Change is tough so I call the M&A process an emotional roller coaster,” Reamer said on the merger and acquisition process. Of the many tips she shared, here are three things you need to know and think about before/while selling your company:
Find out who your likely buyers are: When thinking about selling your company, you should find out who your potential buyers are. Is it a relative? A current employee? Jill suggests that you look at your “universe of buyers” as a great first step.
Understand how much you need: If you’re selling your company because you’d like to retire or an unexpected life event has forced your hand, it’s good to know the numbers. With help from financial experts, Jill suggests that you “find out where you are.” Once you know where you are financially, Reamer says you should put a plan into place to make sure your company can provide the value needed to give you the figure you desire.
Don’t tell everyone you’re ready to sell: If you have a company where clients depend on you or you depend heavily on your employees, you should remain hush hush on the fact that you’re selling. “Getting word out that you’re selling is really going to cause some panic,” Jill says. Your employees may seek work elsewhere and your clients will too if they hear that you’re selling. Jill suggests that you break the news of selling in a more quiet and strategic way.
To hear more tips about mergers and acquisitions, listen to the full MC4H Radio podcast with Jill Reamer here.