Meet the authorBuy the book!Buy the mapNow play the Zero-to-IPO gameSeminar series
   

Introduction
Overview Page

Preparing for your Journey
Figuring out where you are, where you're going and how to get there.

The Long Haul from
Zero-to-IPO

Roadmap and travel guide to the each of the four stages of growth.

The Short Sprint from
Zero-to-Asset Sale

Building a company to sell for a profit.

The Slippery Slope to Shutdown
Understanding how a cash crisis develops, how to raise funds, cut costs and avoid bankruptcy.

Valuing the Company
Figuring out what the company is worth.

Negotiating the Deal
Getting what you want through negotiation.

The Fundraising Process
How to raise funds from investors.

Selling the Company
The M&A Process: step-by-step guide to selling your company.

Every Journey Tells a Story
The various routes your journey could take.

Resource Guide
Directories of investors, advisors, agencies & other resources.

Selling the Company watch movie | read endorsements


In an ideal world, one of your strategic partners will approach you out of the blue with an enticing bid to acquire your company. This does happen but donít hold your breath as you wait -- most entrepreneurs find that they have to go out, target potential acquirers and actively sell the company.

"If you do receive an unsolicited bid, donít just accept it, even if you think itís generous Ė the buyer will be expecting to go through the negotiation dance and immediate acceptance may raise some suspicion. Express your interest, bring in some specialist help and discretely approach other potential acquirers. If thereís one buyer interested in your business, then chances are that there are other interested parties out there, many of whom will be more likely to improve their offers in the face of competition. Ideally, youíll get into an auction situation with two or more companies and youíll see the initial offer price increase significantly. Sellers that accept an unsolicited bid seldom recognize full value for their businesses."

".. statistically, the journey is much more likely to end up with an acquisition than an IPO. There are many reasons for this -- the most obvious being that most markets can only support a small number of competitors, and these companies swallow up all the smaller new entrants. "

There are good times and not so good times to sell your company. The ideal time is when the buyers are buying and the company is up-trending. The worst time is when youíre in trouble and the buyers are heading for the hills. Positive momentum like sales growth, the closing of distribution partnership deals and the release of a new product can really increase the level of interest and value.

If you want to get the best deal from an acquisition you need a good plan, an experienced team, time, money and more than a little luck. The team should include...Ē

This chapter includes coverage of the following topics:

  • Why a merger or acquisition is often more appealing than an IPO
  • Selling the company when you have sufficient time
  • Selling in a hurry
  • The process of selling the company
  • Picking your M&A team
  • Preparing your paperwork
  • Dressing the company up for sale
  • Identifying buyers
  • Approaching buyers
  • Presenting to buyers
  • Negotiating terms
  • Agreeing terms
  • Board & other approvals
  • Preparing agreements
  • Due diligence
  • Closing the sale
  • Integration with the parent company