A member of a prominent family who has bought and sold many companies over the years once told me that there are only two times that you should sell a business. The first is when you are not really trying, and someone comes to you with an offer to good to refuse. The second is when you are so tired of running it that you do not even want to go into the company’s front door in the morning. The first instance is when you will get the best price. The second instance will allow you to salvage some value before your level of disengagement would completely devalue the company.
Many food entrepreneurs I talk to today start the business with too much focus on the end game and not on building a business that someone would want to buy. Focus first on building the basics of the business. A good product at acceptable margins with a scalable manufacturing base and a simple but
powerful marketing message. Prove that it sells well in multiple channels and demographics and the buyers for your company will find you in short order.
To learn more about how to build a scalable and profitable business please contact us to start a discussion.
For more insights and updates subscribe to our newsletter here.