The 5 D's - Something to Think About
In the why it is important for Business Owners to start thinking about their Endgame sooner than later are the 5 D's.
Many people delay/procrastinate even starting to think about their Endgame until They are ready to sell. That is at least 1,000 Days too late.
The 5 D's are the reason the sale of a business is forced when the Business Is NOT Ready to Sell, and the Sale Price is far below expectations if it can even be sold.
The 5 D's are:
1) Death
2) Disability
3) Divorce
4) Dispute
5) Debt
When one or more of the 5 D's occur, all of the things that you could have done to build value are out the door and you or your heirs are stuck with a "Fire Sale." Much of what you worked for are gone.
A Business Owner we talked with for months just could not make up his mind to move forward. His company had been damaged by COVID and then his Business Development person quit.
After months, he was finally ready to get started working with us to turn his 11-year-old business around to prepare for a sale and he was diagnosed with Cancer. I urged him to move forward to save his company before chemo and radiation would limit his ability to concentrate much less work.
He wanted to wait until he was cured. Unfortunately, he passed away.
His wife wanting closure gave his company away to one of their longtime employees.
An 11-Year-old Nationwide Business gone...
Don't you think it is time to at least begin thinking about YOUR Endgame?
Let's talk...
Your Value Builder Score Assessment with Estimate of Valuation is a good place to start. It shows how your business looks to an acquirer today and which drivers of value to work on first as well as an Estimate of Value.
