Exit-Readiness for SMB owners with no Succession Plan
You've spent decades building your life's work. It's time to ensure its legacy and maximize its value.
We are a strategic partner for SMB owners seeking a dignified and purposeful exit.
Owner-operators we work with
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Aging SMB Owners
You are a founder nearing retirement, with a deep, personal history tied to your business. You are seeking a dignified transition, not just a transaction.
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No Succession plan
Your primary driver is to ensure your legacy and the future of your employees. Financial reward is critical, but it is not the only variable.
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Weak systems
You are tired of the daily grind and operational burdens. You understand that your business needs a systemic upgrade, but you do not have the energy or desire to be the one to implement it.
Businesses we work with
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Fragmented industries
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Recurring revenue
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Low or no Tech Adoption
What we offer
An exit engineered to help you reap the full rewards of your life's work; Notably, the powerful, hidden asset in your dedication and decades of experience.
Our process transforms the value you built with your own hands into a purposeful, high-multiple exit, ensuring that every drop of blood, sweat and tear you invested is fully realized.
Common Seller FAQs
*Important Note:
These are general recommendations only; We recommend scheduling an in-depth consultation to identify a strategy for maximizing the enterprise value and ultimate sale price for your company.
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Step 1: Confirm 24–36 months of steady EBITDA
Why it matters: Buyers want to see proof of repeatability, not one strong year.
Next Steps: Close monthly books consistently and track EBITDA to show stability.
Step 2: Document that operations run without you
Why it matters: A business reliant on the owner is harder to transfer.
Next Steps: Delegate responsibilities and document processes before going to market.
Framework: 3Cs
Cash Flow
Why it matters: Predictable profits drive valuation multiples.
Next Steps: Eliminate noise in financials and show consistency.
Control Transfer
Why it matters: Buyers want seamless succession.
Next Steps: Put leadership and SOPs in place.
Cleanliness
Why it matters: Messy books create discounts.
Next Steps: Audit records and contracts ahead of diligence.
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Step 1: Calculate normalized EBITDA
Why it matters: Buyers only pay for true recurring earnings.
Next Steps: Remove personal and one-time costs to show accurate profitability.
Step 2: Benchmark industry multiples
Why it matters: Valuations differ by industry and size.
Next Steps: Compare against recent transactions in your sector.
Framework: M.E.G.A.
Multiple Range
Why it matters: Establishes baseline market value.
Next Steps: Research typical multiples in your sector.
EBITDA Quality
Why it matters: Clean, verified earnings command premiums.
Next Steps: Commission a Quality of Earnings report.
Growth Profile
Why it matters: Faster growth attracts higher bids.
Next Steps: Highlight growth opportunities with data.
Adjustments
Why it matters: Risk factors reduce price.
Next Steps: Fix or disclose them early.
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Step 1: Remove owner-only tasks
Why it matters: Dependency reduces transferability.
Next Steps: Train managers and build SOPs.
Step 2: Lock key customers with contracts
Why it matters: Buyers pay for predictability.
Next Steps: Secure renewals and multi-year agreements.
Framework: V.A.L.U.E.
Visibility
Why it matters: Buyers trust what they can measure.
Next Steps: Build dashboards with KPIs.
Autonomy
Why it matters: A self-sufficient company is more valuable.
Next Steps: Prove leadership depth.
Longevity
Why it matters: Long-term contracts de-risk cash flow.
Next Steps: Showcase customer retention metrics.
Unit Economics
Why it matters: Healthy margins support growth.
Next Steps: Eliminate leakage and document pricing logic.
Evidence
Why it matters: Buyers need validation.
Next Steps: Provide a sell-side QoE.
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Step 1: Prep phase (4–8 weeks)
Why it matters: Front-loading work avoids later delays.
Next Steps: Build your data room early.
Step 2: Marketing & LOIs (10–16 weeks)
Why it matters: Attracting qualified buyers takes targeted outreach.
Next Steps: Work with an advisor to filter serious prospects.
Framework: P.O.D.C.T.
Prep
Why it matters: Poor prep slows everything.
Next Steps: Assemble financials and legal docs upfront.
Outreach
Why it matters: Quality buyers beat quantity.
Next Steps: Market strategically.
Deals
Why it matters: LOIs shape negotiations.
Next Steps: Manage terms carefully.
Confirm
Why it matters: Diligence validates everything.
Next Steps: Prepare early to avoid retrades.
Transition
Why it matters: Smooth handoff protects value.
Next Steps: Plan retention and training.
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Step 1: Measure dependency on you
Why it matters: More reliance equals longer commitment.
Next Steps: Reduce dependency now.
Step 2: Draft transition milestones
Why it matters: Protects against open-ended obligations.
Next Steps: Put dates and deliverables in the APA.
Framework: R.A.M.P.
Reliance
Why it matters: Founders often hold key knowledge.
Next Steps: Transfer to team pre-sale.
Autonomy
Why it matters: Autonomy shortens transition.
Next Steps: Assign roles and responsibilities.
Milestones
Why it matters: Milestones prevent scope creep.
Next Steps: Map a 90–180 day transition plan.
Protection
Why it matters: Protects your time post-close.
Next Steps: Negotiate scope, pay, and timeline clearly.
Common Buyer FAQs
*Important Note:
These insights are intended for general guidance only. We recommend scheduling a detailed buyer strategy session to evaluate your acquisition criteria, deal structure, and post-close integration plan to ensure a buying decisions align with your financial goals and risk tolerance.
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Step 1: Confirm stable EBITDA
Why it matters: Predictable profits allow financing.
Next Steps: Look for 3 years of steady EBITDA.
Step 2: Test customer concentration
Why it matters: Too much reliance on one client is risky.
Next Steps: Check no customer exceeds 20%.
Framework: S.C.O.R.E.
Stability
Why it matters: Buyers need confidence cash flows will continue.
Next Steps: Verify earnings quality.
Concentration
Why it matters: Overdependence creates fragility.
Next Steps: Diversify or discount valuation.
Operational Upside
Why it matters: Inefficiencies are opportunities.
Next Steps: Look for cost savings or tech gaps.
Resilient Team
Why it matters: Talent continuity ensures handoff.
Next Steps: Retention packages keep them engaged.
Evidence
Why it matters: Data must back claims.
Next Steps: Insist on proper diligence.
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Step 1: Show financing certainty
Why it matters: Sellers want confidence you can close.
Next Steps: Provide bank commitment or proof of funds.
Step 2: Submit a clean LOI
Why it matters: Sellers avoid deals with many outs.
Next Steps: Offer simplicity and certainty.
Framework: C.L.O.S.E.
Certainty
Why it matters: Funding certainty wins deals.
Next Steps: Show it upfront.
Likeability
Why it matters: Owners want to trust you.
Next Steps: Build rapport early.
Offer Clarity
Why it matters: Confusion kills momentum.
Next Steps: Make terms transparent.
Speed
Why it matters: Faster deals reduce risk.
Next Steps: Commit to aggressive diligence.
Execution
Why it matters: Sellers fear re-trades.
Next Steps: Prove you can close as agreed.
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Step 1: Decide equity stake
Why it matters: Sets your skin in the game.
Next Steps: Balance equity to debt.
Step 2: Layer in bank debt and seller notes
Why it matters: Optimizes structure.
Next Steps: Negotiate terms that align incentives.
Framework: M.I.X.E.D.
Mix
Why it matters: Spreads risk.
Next Steps: Combine equity, bank, seller.
Interest
Why it matters: Coverage ratio must be safe.
Next Steps: Test DSCR under stress.
eXpected DSCR
Why it matters: Protects against downturns.
Next Steps: Use conservative cases.
Earn-outs
Why it matters: Aligns seller’s incentives.
Next Steps: Tie to achievable KPIs.
Duration
Why it matters: Avoid mismatched maturities.
Next Steps: Match to cash cycle.
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Step 1: Underwrite to cash-on-cash returns
Why it matters: Multiples are misleading.
Next Steps: Focus on yield and IRR.
Step 2: Build downside case
Why it matters: Protects against optimistic assumptions.
Next Steps: Model stress scenarios.
Framework: R.U.L.E.S.
Returns
Why it matters: Cash yield matters most.
Next Steps: Measure against risk-free alternatives.
Unbiased EBITDA
Why it matters: Inflated numbers cause losses.
Next Steps: Normalize conservatively.
Low-Regret Downside
Why it matters: Protect capital.
Next Steps: Price to survive worst case.
Exit Multiple
Why it matters: Future is uncertain.
Next Steps: Cap assumptions low.
Stop
Why it matters: Discipline saves you.
Next Steps: Walk away if limits breached.
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Step 1: Tie revenue to cash
Why it matters: Prevents fake earnings.
Next Steps: Match invoices to deposits.
Step 2: Analyze retention and cohorts
Why it matters: Reveals customer stickiness.
Next Steps: Chart churn over time.
Framework: F.R.A.U.D.
Financial mismatches
Why it matters: Inconsistencies hide risk.
Next Steps: Reconcile everything.
Retention weakness
Why it matters: Churn destroys value.
Next Steps: Analyze cohorts.
Accounting anomalies
Why it matters: Aggressive recognition inflates results.
Next Steps: Test revenue policies.
Unknown liabilities
Why it matters: Surprise lawsuits kill deals.
Next Steps: Demand full disclosures.
Data risks
Why it matters: Cyber gaps create hidden costs.
Next Steps: Audit IT security.
If You Are Ready for a Partner, Not a Broker, Let's Begin.
This is not a sales call. It is a strategic dialogue. We only engage with individuals who are prepared to redefine what's possible.