How to maximize the sale of your business

1. 10 ways to substantially
monetize your exit strategy
Semper Cogita LLC
Copyright 2014 Semper Cogita LLC.

2.  Position your
business to sell it
 Consider intangible
assets
 Using your financials
as a barometer
 Solid business plan
Copyright 2014 Semper Cogita LLC.

3.  Know your business
climate
 Understand the
importance of a
business valuation
 Maximize your price
Copyright 2014 Semper Cogita LLC.

4.  Succession planning
• If you plan on leaving
 Putting it all together
Copyright 2014 Semper Cogita LLC.

5.  Are your sales
Increasing or are they in
a downward trend
 Do you have a focused
core business
 Is your customer
concentration no more
than 10% per customer
Copyright 2014 Semper Cogita LLC.

6.  Intangible assets are
more important than
tangible assets
 Intangibles
• Employees
• Strong brand
• Copyrights/trademarks
• Customers/prospects
• Long-term contracts
• Market position
Copyright 2014 Semper Cogita LLC.

7.  Best indicator of future
performance
 Three year’s worth of
financial statements
 Formal presentation
 Audited financial
statements most
credible
Copyright 2014 Semper Cogita LLC.

8.  Believable
 Captivating
 Well-researched market
analysis
 Shows management’s
commitment
 Make sure you target
opportunities
Copyright 2014 Semper Cogita LLC.

9.  A big determination of
valuation
 Valuation will affect
marketability
 Knowing your
company’s multiple
vs. the multiple of
other companies in
your industry
Copyright 2014 Semper Cogita LLC.

10.  Data is available on
many common industry
multiples
 Valuation experts and
investment bankers
know trends
 Make sure the
professionals you
choose know your
industry’s trends
Copyright 2014 Semper Cogita LLC.

11.  A business valuation
prepared by a
professional will provide
roadmap for managing
expectations
 Need for valuation
company to have most
current national data –
expertise essential
Copyright 2014 Semper Cogita LLC.

12.  Focus on your core
competency
 Review customer
concentration
 Industry specialization
creates competitive
advantage
Copyright 2014 Semper Cogita LLC.

13.  Delegating key
responsibilities
• Senior management
team
 Customer relationships
and direct ties to revenues
 Can business thrive
without you?
Copyright 2014 Semper Cogita LLC.

14.  Advisory Team
• Attorney and
accountant with
expertise in mergers
and acquisitions
 Legal Documents
• Formal agreements
with customers and
suppliers trumps
“handshake”
understandings
Copyright 2014 Semper Cogita LLC.

15.  Current paperwork is
in order
• Incorporation papers
• Licenses
• Leases
 Operation is orderly
 Business is still
running smoothly
even as you focus on
sale
Copyright 2014 Semper Cogita LLC.

16.  We have more than 30 years of
financial experience
 We have contacts to help you
successfully evaluate and sell
your business
 We don’t charge you a fee
 Call Dermot Farley
732-915-2191
thinking @ sempercogita.com
Copyright 2014 Semper Cogita LLC.