Is It Time to Sell? How to Know When Your Business Is Ready for an Exit
Selling your business should feel like a celebration of everything you’ve built—not a last-minute scramble to fix financials, chase down contracts, and realise you left millions on the table.
Yet, too many founders wait until they’re burned out before they start thinking about an exit. Big mistake.
The Problem: A Rushed Sale That Left Money Behind
Meet GrowthForge, a digital marketing agency that had built a solid £10M business over 12 years. When their CEO, Laura, got an acquisition offer, she saw it as her golden ticket to early retirement.
But there was one problem: She wasn’t ready.
Their financials were messy. The buyer’s due diligence team spotted inconsistent revenue reporting that made them question the numbers.
Revenue wasn’t sticky. They relied on one-off projects, not long-term contracts, which meant risk for the buyer.
Key employees had no incentives to stay. The buyer worried that without Laura, the business would fall apart.
The result? The deal collapsed, and Laura had to spend the next two years cleaning up the business before she could try again.
How a Fractional CFO Would Have Made This a Smooth (and Lucrative) Sale
🔹 Preparing the Business for Sale Early – A CFO would have started planning at least 2-3 years in advance, ensuring:
✔ Financial statements were investor-ready (clean, structured, and showing clear trends).
✔ Recurring revenue was prioritized, making the business more attractive to buyers.
✔ Operational dependencies were reduced, proving that the business could thrive without the founder.
🔹 Maximizing the Valuation – Buyers pay more for lower-risk businesses. A CFO would have:
✔ Identified key growth drivers that could be improved pre-sale.
✔ Set up a tax-efficient exit strategy to minimize Laura’s personal tax bill.
✔ Worked with M&A advisors to position the business as an investable asset.
🔹 Managing the Sale Process Like a Pro – Instead of scrambling, a CFO would have:
✔ Controlled data room access, ensuring buyers got everything they needed upfront.
✔ Led negotiations on deal structure, securing a higher upfront cash payment and a strong earn-out package.
✔ Ensured Laura walked away with the best possible terms.
The Outcome?
Instead of missing out on millions, Laura’s agency could have sold faster, for a higher price, and with far less stress.
