Selling a business marks a significant milestone in an entrepreneur’s journey, representing years of dedication and hard work. However, despite its importance, only a few individuals truly understand the complexities involved. As a result, most people stumble through the process and make common mistakes.

In this insightful episode, David Pulcini highlights four common mistakes entrepreneurs make when selling their businesses and how to avoid them. 

First on his list is lack of preparation, a mistake that can significantly diminish the value of your business or even derail the entire sales process. Proper preparation is key to a successful sale, from accurate and professionally prepared financial records to ensuring your business runs smoothly without the owner.

Moving on, Pulcini sheds light on the mistake of overvaluing your business. He explains how overvaluing your business scares off potential buyers and prolongs the sales process. Additionally, Pulcini delves into the emotional aspects of selling a business, a dimension often underestimated by sellers. He emphasizes that selling a business is not merely a financial transaction but also emotional.

Lastly, he stresses the importance of seeking professional help when selling your business. From business brokers to attorneys and financial advisors, assembling the right team can streamline the process and ensure a favorable outcome.

 

Watch The Full Episode on Youtube:  https://youtu.be/MWmP5KW1cxM

 

During this episode, you will learn about:

[01:06] Introduction to the episode

[01:34] 4 common mistakes when selling a business 

[03:02] #1 Lack of preparation

[03:24] Preparations necessary when selling a business?

[05:33] https://sixpointfp.com/

[07:46] #2 Overvaluing the business 

[08:24] Factors that differentiate the selling prices between two companies in the same industry

[09:30] #3 Underestimating the emotional aspects of selling your business

[12:33] What does SixPoint mean?

Website: https://sixpointfp.com/

[12:58] #4 Attempting to sell the business without professional help 

[13:10] Key people to have on your team when selling your business

[14:07] Recap of the episode

 

Key Takeaways:  

• Lack of preparation can significantly diminish the value of your business or even derail the sales process completely. [03:05] 
• When selling your business, ensure that your financial records are accurate, transparent, and professionally prepared. [03:28] 
• A business that runs smoothly without the owner is more attractive to buyers. [05:07]
• Making yourself obsolete will make your business worth significantly more. [05:16] 
• Overvaluing your business scares off potential buyers and prolongs the sales process. [07:31] 
• “Selling your business is not just a financial transaction; it’s emotional.” ~David Pulcini [09:35] 
• Sell your business to the right person because whoever buys your business becomes part of your legacy. [12:54] 
• When selling your business, you need a business broker, an accountant, an attorney, and a financial advisor. [13:10]

Book Time with David Pulcini:

• Schedule a Call

Connect with David Pulcini:

• info@sixpointfp.com
• SixPoint Financial
• (585) 406-4645
• LinkedIn: David Pulcini
• LinkedIn: SixPoint Financial
• Twitter: SixPoint Financial
• Facebook: SixPoint Financial

View The Full Episode Transcript Here

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