Are you ready for a new challenge, retirement, or do you have an other reason to sell your company? Then that is a complete change. Not only for your company, but also for you as an entrepreneur. Are you ready to take this step? This is how you prepare your company for takeover. We take you with us in 4 steps.
You have been thinking about selling your company. But are you ready for this step? If you know for sure, it is time to see if your company is too. Start with yourself, because you ultimately make the decision to whom you sell it. Therefore ask yourself why you want to sell it, who you would find the best investor and whether your company is interesting enough. In addition, it is good to consider the legal form of your business and whether this form is suitable for sale. Perhaps the most important question is: what will you do after the sale? Are you still liable within the company in certain areas? And how much money will you have left after selling? In this way you allow yourself time to see what you want as an entrepreneur.
Do not be at the centre stage
If you want to sell your company, it is imperative that you are no longer the driving force. Is that the case? Then there is a good chance you will not be able to sell your company, without you re-entering in a certain role. Ensure a clear structure within the company and ensure that employees can make their own decisions. In addition, your task being the entrepreneur within the company. Your focus must remain on that. The sales process can take a long time and during that time you do not want your company to stand still.
To sell your business, it is good to put it in order. A ‘spring cleaning’ is required, so to speak. For example, take a closer look at the balance between income and expenditure. By making this up-to-date, you will also gain insights into how well your company is doing and what it is worth. This is also the right time to look at the costs you incur. Is sponsorship of the local football club still necessary? And do you rent the property or have you bought it? Are you going to sell your buildings or are you going to rent it out to the new investor?
As an entrepreneur you are probably used to making as little profit as possible, so that the taxes remain low. In this phase of doing business it is necessary to make this ‘normal’ again. During the spring cleaning, also consider contracts with your suppliers. In some cases, the collaboration has been around for such a long time that contracts have never been renewed or did not even exist at all.
The right investor has been found. You have a good feeling about it and you know this is the best for your employees. The mission and vision that the company has are adhered to by the investor and this makes the company ready to be handed over. Inform your employees and try to do this as personally as possible. It is a big step and your employees probably have questions. Eventually they get a new director. It is good to celebrate the acquisition with your employees, customers, suppliers and other stakeholders. This shows that you consider the takeover as a right step towards the future. In addition, this gives the opportunity to introduce people to the successor, so include this in your plan to celebrate the acquisition.
This is how you prepare your company for takeover. Are you curious as to whether you yourself are ready to part ways with your organisation? Read about it in this blog.