The whole category in one page.
A BUYER IS PURCHASING FUTURE PROFITS THEY CAN EARN WITHOUT YOU
If the profits depend on you, there is nothing to sell. Test it by being absent and observing what happens.
UNRECORDED INCOME DESTROYS VALUE, BECAUSE NOBODY PAYS FOR EARNINGS THAT CANNOT BE DEMONSTRATED
Buyers examine several years of accounts, so proper recording must start years before you intend to sell.
PREPARATION BEGINS TWO OR THREE YEARS AHEAD — A FORCED EXIT TAKES WHATEVER PRICE IS AVAILABLE
Regularise assets held personally, undocumented arrangements, unassigned intellectual property and unremitted deductions, because those are what stop transactions.
DISCLOSE EVERY KNOWN ISSUE, BECAUSE ANYTHING NOT DISCLOSED IS WARRANTED
Problems you reveal are manageable; problems discovered change the price or end the deal.
STRUCTURE MATTERS AS MUCH AS PRICE, AND CERTAINTY IS WORTH A DISCOUNT
Payment contingent on future performance depends on the buyer's management, not yours.
CHECK WHETHER YOUR LICENCES ACTUALLY TRANSFER, SINCE A BUSINESS BUILT ON ONE THAT CANNOT MAY NOT BE SALEABLE AT ALL
CLOSING DOES NOT REMOVE PERSONAL GUARANTEES OR LIABILITY FOR DEDUCTED STATUTORY AMOUNTS
BORROWING TO POSTPONE A CLOSURE DECISION CONVERTS A BUSINESS FAILURE INTO A PERSONAL ONE — AND TRADING WHILE INSOLVENT CARRIES DIRECTOR EXPOSURE
AND LEAVE SOMEONE A RECORD OF ACCOUNTS, CONTRACTS, ACCESS AND ADVISERS, BECAUSE FAMILIES ARE ROUTINELY LEFT UNABLE TO ACT AT ALL
