What Does My Business Need to Look Like in Order For Me to Sell It?
About this video:
Paris Vega
Can you give like maybe a rough profile of what you consider a healthy business or a business worth, getting involved with?.
Marty M. Fahncke
Oh yeah, absolutely. So a healthy business is one that has a profit, that’s number one. Number two has processes and procedures that are well documented. That’s something that a lot of #entrepreneurial businesses lack.
And by the way, if they would do this part, the profit part would come, but having standard operating procedures, having the ability for anybody who’s in the company to be able to do a process and have it understand what they’re doing is very critical. And what that leads to is important factor number three, which is a business that can operate successfully without the owner having to put in 60 hours a week.
So if the owner has to put in 60 hours a week, whose gonna buy it because they’re just buying themselves a job at 60 hours a week and nobody wants that. So you need to be able to have a business that your business can operate without you as the owner having to be there to run it. And if you have those three things, then you’ve got a business that has lots of people who will wanna buy it.
Paris Vega
Wow. Okay. So profitable, standard operating procedures, and not having to be run directly by the owner.
Okay. Some good goals for people listening if they wanted to sell their business.
Marty M. Fahncke
Well, and I’ll tell you something else. Even if you never want to sell your #business, if you go through the steps of creating a business that’s sellable by cleaning up your financials, cleaning up your processes, putting systems in place and people in place so that you as an owner can step away from your business a little bit, even if you never sell it. You’ve got a heck of a lot better business than you did before because a lot of business owners can’t do that. And so doing the steps to get your business ready for sale, oftentimes we’ll have a business owners who thinks they wanna sell it, and then they do everything we tell them to do, and then they look around and go, actually I really like this business, now I’m gonna hold on to it, why would I sell it? Great, that works for us too. But when they called us, they were working 60 hours a week and the business was killing them. And so just the act of getting your business ready to sell even if you never sell it is going to benefit you.
This is an excerpt from the First Customers Podcast with Paris Vega. The First Customers podcast is on a mission to learn how entrepreneurs, founders, CEOs, and sales & marketing experts found their very first customers.
Check out the full episode at the links below…
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Listen here:
Apple https://podcasts.apple.com/us/podcast/54-marty-m-fahnckes-billion-dollar-journey/id1487739303?i=1000644059559
Spotify: https://podcasters.spotify.com/pod/show/first-customers/episodes/54-Marty-M–Fahnckes-Billion-Dollar-Journey-e2farkk
To learn more about Marty Fahncke, Business #acquisitions , and Westbound Road visit our website: https://www.westboundroad.com
