Selling a Business – A Guide for Angel Investors and Entrepreneurs – Part 2
Selling a Business is the Best Part of Being an Investor or Entrepreneur
Keynote speech at the National Angel Capital Organization Summit on October 15, 2009.
Highlights of Part 2: The Exit Process, Selling the Business for 50% more, The Buyers and Exit Timing
- How to sell a business for 50% more – the steps to completing a successful exit transaction
- Why it’s important to engage professionals and why the CEO should not lead the exit
- The exit is just another business process – every company should have a written exit strategy
- Term sheets are an important part of building exit alignment and vesting is the most important term
- Who are the buyers for tech companies today? It’s the best way for big companies to grow
- Corporate buyers are now often the fiercest competitors for traditional Venture Capital funds
- Today, companies are often acquired just two or three years from start-up
- What determines how early you can sell? It’s right after you have ‘proven the business model’
- Most entrepreneurs wait too long to exit and end up ‘riding it over the top’ and selling for far less than they could have
Part 3 of Selling a Business Guide is online here.
Many of the lessons I’ve learned are described in my new book on exit strategies for entrepreneurs and angel investors – www.Early-Exits.com.