Phil Risher describes a $3 million business earning 10% profit that jumped to 27% profit after tightening its financials. Revenue grew to $4-5 million, making it attractive to private-equity buyers. Clean up your numbers before you sell.
was at a $3 million business and they were running 10% profit, which is not bad. But when we started to actually dial in the numbers, they went 27% profit and they were doing $4 million, $5 million. And it's like, this is a scalable thing. And guess what? Private equity was all over them because they're like, gimme that money. And I think there's a big opportunity for a lot of people to, if you, if you want to exit your business, get the stuff clean now.
