Build Value By Choice

Prepare a Business for Transition with Laurie Barkman

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Laurie Barkman is a "business transition sherpa." With her firm, SmallDotBig, she advises owners on having more valuable, sellable businesses. And as a Partner with Stony Hill Advisors, a mergers and acquisitions firm, she guides them through the complex process of letting it go. She joins host Nana Bonsu this week on Build Value by Choice to give you advice on preparing your business for transition.

 

KEY TAKEAWAYS

 

  • 80% of business owners want to stop working in their business in the next 5-10 years, but most have not planned for that transition. Many need to improve the business first.
  • If your business has a lot of risks, it makes it a less attractive prospect and will be harder to transition.
  • The earlier you make the decision to work towards transitioning the business, the more time you have. Having more time means you have more options. More options means you can find more value. And value doesn't have to be the highest offer, the right offer for you might not be the highest one.
  • You can create different exit options depending on your goals. For example the paths of passing your business down the family line is very different to a management buyout.
  • Financial buyers are long-term investors interested in the return that they can get by buying a well-managed company and looking to generate cash flow by boosting revenue, cutting costs, or creating economies of scale by buying similar companies. Strategic buyers are often bigger companies that are well capitalized, able to spend more, and less focused on whether a company can generate quick cash flow. The strategic buyers tend to pay more than financial buyers.

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    BEST MOMENTS

     

    ‘When you have time on your side, you ultimately have more options’

    ‘I was selling my business but I was also selling myself’

    ‘You only get one change to land a plane on the Hudson’

    ‘3/4s of owners have regrets 1 year after their exit’

     

    EPISODE RESOURCES

     

    Leave a comment or question on the Build Value By Choice Facebook community page

    Get your free value builder score here bit.ly/get-free-valuation

    Get more resources on infhorizons.com/podcast

    www.meetlauriebarkman.com

    https://smalldotbig.com/

    www.linkedin.com/lauriebarkman/

    www.twitter.com//LaurieBarkman/

    www.facebook.com/SmallDotBig/

    Don’t forget to subscribe to the podcast and share it.

     

    ABOUT THE GUEST

     

    Laurie Barkman is a "business transition sherpa." With her firm, SmallDotBig, she advises owners on having more valuable, sellable businesses. And as a Partner with Stony Hill Advisors, a mergers and acquisitions firm, she guides them through the complex process of letting it go.

    Laurie is the former CEO of a $100 million revenue company with an exit to a Fortune 50 company. With more than 25 years of C-Suite and award-winning marketing expertise, she provides actionable perspectives to drive sustainable value.

    Engaging audiences across the US, Laurie is an Adjunct Professor of Entrepreneurship at Carnegie Mellon University, leads executive workshops with...

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    Build Value By ChoiceBy Nana Bonsu
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