Winning the exit is not just about getting the most money for your company.
Winning is about preparing for and getting the transaction that best suits you, your customers, employees, and family. Reality may be different than you imagined. That means you need to find the right buyer type.
You need to interview and hire the right people at the right time and make the right connections along the way.
You need to plan out all your various transitions, both before and after the exit.
There are many products that can teach you about the deal and how to get the most money, but we are going to teach you how to win more than just the financial transaction. There is much more to this process than a check, and that is what my course is about.
When you exit the business, you will need a buyer. Who will buy it?
When you decided to start a business, you took on the awesome responsibility to provide products or services to customers, hire employees, work with vendors, and provide financial means to your family. At some point, you will exit this business. It may be feet first, a timed choice, life event, health, or a variety of other reasons, but it will happen. Like most business owners, you probably think somebody will buy it. After all, you have probably sold houses, cars, or products on eBay and somebody always buys them.
Businesses do not fall into these categories. Most of the time your business was built for you, around your strengths, and this domain is yours. You have excelled at what you’re good at and put off or ignored what you’re not good at. By doing this, you have created a business that only you can run because there is only one you. Thus you have created something unbuyable and undesirable for most buyers.
If you stay on this path when it comes time to exit, the numbers will tell you the sad story.
The numbers tell the story . . .
In the United States, there are 20 million businesses that range from solo operators to large enterprises. Small businesses that have less than $10 million in annual sales and have valuations under $3 million have odds of exiting of about one in five.
A Forbes article 2017: “According to the IBBA (International Business Brokers Association), the governing body of the business brokerage industry feels the percentage of listings that won’t sell is more like 90%.”
Tony Robbins claims 87% of business owners do not see an exit.
These articles are one Google away; you can find them in The New York Times, Inc., Forbes, and Entrepreneur magazine.
This is a devastating situation for most business owners. They have 50-90% of their personal wealth tied up in the business and four out of five never get to realize an exit.
Most business owners are unaware of these numbers, and when it comes time to exit they are unprepared for a variety of reasons, and they are getting poor advice from people who are motivated by the transaction.
Thus the perfect storm happens, and the owner never gets to win their exit. Oftentimes it can actually cost money to close a business.
If you are not ready to buy until the course becomes live we understand! Sign up and be the first to know when we launch on Independence Day!
HOPE IS NOT LOST! I will help you!
My course is about transforming your business from a customized business to a business that someone would want to buy when that time comes.
You will learn how to:
Evaluate your situation: Why are you exiting your business? Whatever your situation is, you will get right to the understanding of why you are exiting. While every business owner dreams about selling and retiring, we review your current financial situation and what a sale will do for you. Understanding your financial situation and what the business asset is worth to you personally or in a sale is critical to taking the next step of finding the ideal buyer that will give you the deal that is best for your situation.
Do your Due Diligence FIRST and you will be prepared: The number one deal killer is time; the longer it takes to deliver a contract, financial information, or answer questions, the less likely a deal happens. You need to be as prepared as possible long before a buyer enters the picture. Health issues, business or personal tragedies happen, often without notice, so being ready before you try to exit is not only important, it is the responsible thing to do for your clients, employees, and family.
Transition: What is next for you? This exit is for you to leave this business, but you still have a lot of life to live, so what is next? Another business? A job? Retirement? I will help you think this through and go over my personal experience with the transition, so you are prepared for the best possible outcome.
Plan to find a buyer: You need to make a strong effort to identify and find possible buyers long before you go to sell. You need to carefully craft a relationship that you can shift into an acquisition when the time is right. It may not be one buyer; it may be a dozen. I will teach you how to find buyers, cultivate them in a non-threatening relationship, and have them ready and interested when your time comes.
Types of buyers: There are several types of buyers. We will walk through each of them with pros and cons, so you will understand who they are and what they are looking for and the most likely offering you will receive from them. What is most important is for you to understand the reasoning and psychology behind each type of buyer’s motivation. This will help you create a buyer avatar so you know what type of buyer is best for you to pursue.
Brokers/bankers/M&A (other professionals): This course may seem like a DIY course. In fact, it is not. Yes, as the owner, you will be given a wealth of knowledge and you will be ready once you apply all these lessons to make your business buyable, find a buyer, and prepare to EXIT. These are all things you do BEFORE you hire the transaction professionals.
Having a professional transaction specialist to work with who can navigate the due diligence, deal flow, and help buyers get financing can greatly benefit you. I will walk you through who brokers are, what to look for, what they can and can not do. I will also discuss the other various advisers you could engage in the process, what their roles are and how they can help or hurt you.
Be buyable: Your business needs to be buyable. I know that is not a term you hear much, but people like to buy, not be sold. This may sound like you are ready for a fire sale, but by no means is that what we are saying. Buyable means everything is presented in a true working order. You want the business to look, feel, and be attractive to a buyer because of the structure you put in place.
Open market: You may have no choice but to go to the open market. If that is the case, you will be well positioned and be far ahead of sellers who have not done the work you will have done. We will discuss and review what the open market process looks like and what you can do to increase your odds of an exit.
When you are done with this course, you will be able to define what winning your exit looks like and transform your business into the exact model you want.
This course has been built on my personal experiences. I have had a dozen exits, and I have actually gone through all these experiences myself. I used my exits to transform my life, build baseball fields, travel, and start other businesses. Let me help you define and plan so you can Win your Exit!
Take me to the course!
This school is about real life -- real experiences -- real lessons that I want my students to learn and prosper from.
My passion is to pass on these experiences and give you the knowledge to help run your life and business better, so you can understand the value and to Win Your Exit!
Business owners work too hard not to have an exit and most do not! An exit, though, is so much more than just a financial transaction on closing day. My courses in short powerful lessons will teach you how to make your business, desirable and buyable, and show you how to Win Your Exit when the time comes.
My name is Tom Hannon, and I was born to be an entrepreneur. At the age of 11, I was selling candy out of a trunk at baseball camp. I hustled jobs and developed business relationships before I ever graduated from high school. I have brought hustle, passion, and a thirst for knowledge into everything I have done in both my business and personal life. After watching my parents let corporate America get the best of them, I decided I was going to make my own destiny. Before I was 30, I had already acquired several businesses and sold them to an international company. I got the training of my life working with that company, and when they were sold a few years later, I went back into business for myself and proceeded to create a business that led to my second significant exit before I was 35. I have since started, acquired, and sold several more business, as featured on Built To Sell Radio.
My natural progression during my career I thought was to go into business brokering. However, that world is not a place to help business owners, contrary to the job title. That business is about transactions, and I wanted to help business owners Win Their Exit, not just sell their business.
The time to help business owners is the day they start a business or several months or years before they sell, not when they show up at the broker’s door to sell. I have read just about every book I could find on businesses, I have studied everything about it, but more importantly, I lived it. I lived through taking a company from zero to millions in revenue, then to actual deals to exit that business. I dealt with large corporations and individuals. I sold a business for profit, health reasons, partnership issues, and many other things that all the books simply don't tell you.
I am excited to share these stories and lessons with you so you can Win Your Exit!
Remember that Winning Your Exit is about so much more than a paycheck. In my case it meant restarting my life, living on a beach, building a baseball field, endurance sports, and exploring different passions, dreams, and industries.
What does it mean in your world? Let’s find out!
If you would like to learn more, please feel free to visit me on LinkedIn.
What is in the Course?
Section 1 - Course and Section Introduction
Section 2 - Lectures - Why Are You Selling Your Business? Can You Afford To Sell? Valuations. Transition - what is next for you?
Section 3 - Do Your Due Diligence first - Get the right Advisers, Clean Up your financials and contracts, Freshen up yourself and your business, Create a Deal Book
Section 4 - Consider Your Options - What do you want your relationship to be with the buyer. How do you want to be paid. Research the industry. Types of Buyers
Section 5 - Find A Buyer - Buyer Avatar, Research the Buyer, Transition from Operator to Seller, Million Dollar Email, Marketing to Buyers, Open Market
Section 6 - Art of The Deal - NDA and Initial Discussions, LOI and Offers, Deal Room - Due Diligence, Transition - Closing, Go Find Your Buyers
Resource Section - Books, Documents, Continued Learned, Alphabet Soup (what initials mean)
Tom understands the business incredibly well. He brings a level of professionalism and energy to the industry that is virtually impossible to find elsewhere.
- Jim Reid, Reid Pudlications