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‘Seller’s remorse’ when selling your business – Rob Goddard, Managing Director, Evolution Complete Business Sales

Rob Goddard, Managing Director, Evolution Complete Business Sales

Clients invariably ask me, what is the most common reason for the sale of a business not completing? My answer is an easy one: You.

Business vendors often change their mind about selling as they draw close to completion day. But why? Why spend all that time and money embarking on something that they then subsequently abandon?

It’s a very good question and primarily amounts to this. At the start of the process it is primarily a financial transaction. The seller is looking to capitalise on the growth of their business, perhaps to retire. As the sales process moves on, it becomes more of an emotional transaction for the seller. In a sense, the business is their ‘baby’, their creation. They have identity and purpose wrapped up in running and owning their business. Now they are on the verge of losing that. Losing that reason to get up in the morning and being needed by a group of people.

It sounds strange, but over the years we have seen numerous business owners walk away from a perfectly good deal, because they can’t face the prospect of not being in charge of the business any more. It has nothing to do with the amount of money in the deal, or the exit terms, it is a soft issue about letting go of something that they have built.

At Evolution, we have sold hundreds of businesses over the past decade. Our solution to the conundrum is to identify clearly from the outset, why someone is selling the business and keep that in the forefront of their mind throughout the process. We remind our clients that there really is ‘life after sale’.

If you would like to know more, or would be interested in attending one of our FREE seminars, please go to www.evolutioncbs.co.uk. Or you can call me (07754 151497 / 0118 959 8224) or email me.

One Response to “‘Seller’s remorse’ when selling your business – Rob Goddard, Managing Director, Evolution Complete Business Sales”

  1. Tony Armstrong says:

    Rob, this is so true and it’s why it’s never too early to plan the exit. Having done various venture finance backed deals you learn quickly that no serious backer will fund a business that lacks a serious exit plan.

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