Steps to take 12 to 36 months prior to selling a technology company

Steps to take 12 to 36 months prior to selling a technology company

Become a strategic target for a specific type of buyer (either real or hypothetical)

  • What are the drivers to optimize your business?
  • Revenue and profit growth are always important
  • Complementary products and services
  • Strong customer base
  • Strategic roadmap

Increase the professionalism in your organization

  • Demonstrate excellence in critical business areas – marketing, sales, technical services, customer satisfaction
  • Look like a “mature” company that can fit into a larger entity

Get your house in order – remove potential roadblocks to a future deal

  • Corporate clean up – corporate minutes, legal documents and outstanding issues, etc.
  • Legal and tax compliance – federal and state taxes, insurance coverage, etc.
  • Accounting and finance – recent company valuation, reviewed or audited financial statements, no unknown compensation or accrued benefit liabilities

Put your best foot forward

  • Show that your company can hit its projections
  • Demonstrate that key value drivers have been optimized
  • Know your own weaknesses and what can be done to improve them