Most small businesses can't be sold because they lack a standalone structure and the owner hasn't hired a deal team like a wealth advisor or M&A attorney. Some are only worth their customer list. A successful sale needs the advisor, owner, and buyer all aligned.
Well, there's a good reason why they don't sell. Partly, they're not sellable on their own. And secondly, they don't work with an advisor of any kind. They don't have a wealth advisor. They don't have a good tax CPA. They don't have an M&A attorney. They don't, you know, so they don't have a deal team that can help them through a process. That's part of it. But I would say the other thing is, you know, many of these businesses could sell at some price, but they're they may not be able to sell as a business, they may be able to sell as something less. So a client list or a customer list or customers, which of course implies a much lower valuation, but there's probably a way to do it if there's alignment between the advisor, the owner, and the buyer.
How Can You Maximize Your Business Value Before Selling? with Randy Katz Video
