…the story of the 7-figure business I BUILT & SOLD
There is NO mechanism, other than Business, that allows you to earn the money you need to earn; in the hours you need to earn it in. Where else can you have such control and have such fun!
OK, so meet my ex-Mother of a Business #3, aCE talentNET.
It started out and built over time like this…
(click image to enlarge)
Then, I was able to restructure it based on the principles of “Start with the End in Mind TODAY, regardless of how old your business is…” as follows:
- Even though it was nearly 15 years old at time of sale, the decision to EXIT was made two years prior.
- By negotiating with my Business Partner so that we were in this together, and getting to the point where taking it to market was the right next step for it’s ongoing growth.
- Once agreed, the internal “renovation” began; commencing at the same time it was put “on the market”. (In hindsight, the renovation should have been started earlier on!).
- A successful outcome for us was to SELL to the Best Buyer at our Best Price, in the current market.
To prove my Mother of a Business was doing 7-figures over the Sale period, I’ve included its “scorecard” for show-and-tell. Here is a sneak peak at the Business scorecard!
(this document is a Form 2 (Section 52) required for all VIC Sale of Business transactions under $350,000)
So, what is key to EXITing your Mother of a Business?
Well there are two:
- renovate your Business so you have an Asset to sell,
- tap into experienced operators who can find a Buyer who is prepared to hand over money to take it off your hands for as much as possible
To illustrate what I mean by “renovation”, lets use a Real Estate example from an investment property point of view.
When selecting an investment property (not to live in) as opposed to a home (to live in), you look at different criteria. Considerations when structuring a business are no different. Setting your Mother of a Business up as an Asset follows the same principles.
Is your Mother of a Business something you want to “live” in or is it something you want to treat as an investment asset, to deliver certain financial outcomes and be attractive to the next Buyer when the time comes to sell it?