Insights & Strategies
for Today's Market

This blog introduces comprehensive business exit strategies, covering internal methods such as Family Succession, Management Buyouts (MBO), Sale to Existing Partners, and Employee Stock Ownership Plans (ESOP), as well as external strategies including Sale to Third Parties, Recapitalization, Initial Public Offering (IPO), and Orderly Liquidation. Learn the implications, advantages, disadvantages, and key considerations to successfully navigate your business exit.

Selling your middle-market business can be a lucrative yet complex undertaking. This post explores common pitfalls including inadequate preparation, unrealistic valuations, disorganized financial records, excessive customer concentration, owner-dependency issues, unresolved tax/legal matters, weak negotiation positions, ineffective buyer screening, poor communication, absence of a solid transition plan, state/local tax exposure, and subpar accounting practices. We also provide practical strategies to proactively address these challenges, ensuring a smoother and more profitable sale process.

Many middle-market business owners mistakenly equate valuation with purchase price, leading to confusion and disappointment during negotiations. This post clarifies the fundamental differences between these two critical figures, exploring how valuation methodologies are applied, why the final purchase price often diverges significantly from initial valuations, and strategies to bridge the gap and maximize value in transactions.