Prepare Your Business for a Future Sale
Understand what buyers will look for and what to address before going to market.
BMI helps owners of privately held companies with $3 million to $150 million in revenue prepare for a sale. We identify issues that could affect value, weaken buyer interest, or delay a transaction. Then we help you decide what to address first.
We review your financial records, customer base, management team, and how much the business depends on you. Our guidance helps you focus on improvements that could strengthen your position in a sale, with priorities that fit your goals and timing.
Preparation guidance begins with BMI’s initial assessment. Start with a confidential conversation about your business and plans. There is no fee for the initial assessment and no obligation to sell or engage BMI.
Request a confidential consultationPrefer to talk now? Call (215) 240-7648
Preparation priorities
Three areas to review before a sale.
Financial performance, customer relationships, and management depth all influence buyer confidence. We help you understand where your business stands and what deserves attention.
Financial performance
Buyers want earnings they can understand and verify. We review sales trends, profitability, and financial records to identify gaps or changes that may raise questions. Addressing them early helps support value and prepare for due diligence.
Customer relationships
Buyers assess how much revenue depends on key accounts and whether those relationships will continue after a sale. We review customer concentration, retention, and agreements to help you understand the risks and identify ways to strengthen your position.
Management depth
Buyers want to understand how the business will operate after a change in ownership. We help identify where operations and customer relationships depend on you, and where sharing responsibilities or developing your team could support a smoother transition.
How preparation works
From an honest assessment to a plan you can act on.
We help you decide what to address, where to focus your effort, and how preparation fits your sale timeline.
1Understand your starting point
We begin with a confidential conversation about your company, goals, and timing. An informal, market-based opinion of value helps you assess how a potential sale aligns with what you want to achieve.
2Review sale readiness
We review your financials, customer relationships, and management team to identify questions buyers may raise. The depth of the review depends on your needs and how soon you expect to sell.
3Set practical priorities
We help you distinguish between issues to fix, risks to reduce, and matters that need a clear explanation. You can then focus your time and resources where they could make the greatest difference.
4Evaluate when to sell
We discuss how long improvements may take and what buyers would need to see. Together, we weigh the benefits of further preparation against your goals and preferred timing.
Additional support
Put your preparation priorities into action.
When more detailed work is needed, BMI and our specialist consulting partners can help you address issues, strengthen the business, and prepare for buyer review.
Due diligence preparation
Identify gaps in records, contracts, and business practices before buyers examine them. A detailed review helps you address potential obstacles and prepare clear answers to buyer questions.
Quality of earnings review
A specialist financial review examines earnings and proposed adjustments. It helps you identify potential challenges early and support the financial results presented to buyers.
Management and employee retention
Clarify responsibilities, strengthen management depth, and plan for continuity. Retention strategies can help keep key employees engaged through a sale and ownership transition.
Growth strategies
Identify practical opportunities to improve sales and profitability. Focus on changes you have time to implement and demonstrate before going to market.
Overlooked assets and capabilities
Identify intellectual property, technology, and other capabilities that may be underused or poorly documented. Help buyers understand their role in the business and potential for future growth.
Add-on acquisitions
Evaluate whether acquiring another company could strengthen your business before a sale. Consider the cost, integration work, and time needed to demonstrate results. Explore our buy-side advisory services.
Timing
How much time do you need?
The time you need depends on what needs attention. Financial records may be organized in a few months, while reducing customer concentration or building a management team can take longer. Starting early gives you more options, but focused preparation can still help when a sale is closer.
Allow time for improvements to show results. Buyers can assess changes more confidently when there is a track record behind them. Major changes can also add costs or disrupt operations, so their timing deserves careful consideration.
Until a sale closes, run the business as you would if you were not selling it, and talk with your advisor before making significant decisions.
Further reading
Preparing your business for sale.
What to work on, what to avoid, and how timing affects value.
Next step
Planning a sale in the next few years? Start with a confidential conversation.
Tell us about your business and your timing. We’ll help you see what buyers are likely to focus on and what is worth addressing first.
Request a confidential consultation(215) 240-7648 · contact@bmimergers.com
Want to know what your business may be worth today? Learn about our business valuations.