You may be ready to sell your business,
but is your business ready to be sold?
Our experienced M&A team help Lower Middle Market Manufacturing, Distribution, and Logistics business' achieve optimal sale value
The Uncomfortable Truth Facing Most 60-80 Year Old Business Owners
...especially if your great business was built for lifestyle and not built for sale
Accept You Have A Major Problem
The reality is stark: virtually 80% of small and Lower Middle Market (LMM) businesses don't reach their full sale potential. These businesses, often family-owned and with EBITDA of $1 - $4 Million, were built for lifestyle not for sale. In most LMM businesses, employee, customer and supplier loyalty flows to the owner not the actual company. This approach, while beneficial for running a family-oriented business, poses significant risks to sustainable earnings and therefore causes challenges when it comes to selling for the best possible price.
Understanding 'Value-Gap' Consequences
The above is why 80% of profitable Lower Middle Market businesses are sold for just 60% of their actual value, resulting in the owner receiving 40% less than they could have.
Imagine your business is potentially worth $10 million, but you only get offers in the region of $6 million - this lost $4 million is the "gap". This is what you're leaving on the table if you don't properly prepare your business for sale. The good news is our Exit team can close this gap and then bring you to market.
Implement Our Unique Solution
Our 7 Pillars of Value Creation framework helps us identify and implement the specific changes that will have the biggest impact on your business' valuation. Our performance-based fee structure means we put our own money, not your money, where our mouth is. Finally, once we have prepared your business for sale, we will present it to our network of 2,500 investors that are actively looking to acquire businesses, like yours, right now.
WE WIN WHEN YOU WIN
WHY We're not like other m&a firms...
Unlike typical M&A firms that pay lip service to value creation, but really only focus on quick sales, our unique approach at Exit is very different. We implement our proven '7 Pillars of Value Creation' to unlock 30-50% more value in your business and we only get paid all of our fees if we increase the value of your business.
Our unique two-tiered fee structure includes a performance-based value enhancement fee and a reduced transaction fee upon sale. And we are so confident that we will increase the value of your company, that unlike other M&A firms, we take all the financial risk.
The result? We aim to sell your business to one of our 2,500 active investors for significantly more than its current value, and we reduce our transaction fee by up to 40% compared to standard M&A firms, meaning that you will net millions of dollars more when selling your business with us. With Exit’s model you literally cannot lose.
We promise exceptional results, including faster closings, preserving business legacies, and getting you the money you deserve to fund your retirement.
M&A Firm vs. Us
Our commission is half that of an M&A firm at just 3% and our success fee is based SOLELY on the Value we create for you. So what do these numbers mean for you? Look at the table below.
We've compared the sale of an $8,000,000 Gross Revenue business handled with a Broker/M&A firm, as opposed to Exit The Family Business' Cinderella Project.
Working with the Exit Team and implementing The Cinderella Project gives an increase of $2,792,000 on your sale price. That's nearly $3 MILLION that the business owner would have missed out on, but someone else would pocket. Make sure that isn't you.
You have a decision to make. You need to bring on board a firm who understands the challenges of getting you up to speed, puts their money where their mouth is, has a proven record of delivering upon your needs, and can get the job done.
While there are numerous competent M&A firms available, most don't align their fees with your ultimate goal: selling at the right price. We stand out in this regard. Our fee structure is uniquely designed to reflect your success in achieving the best possible sale price. Let's start a conversation about how we can realize this goal together.
It's time to face the truth:
If you don't plan your exit correctly, you could end up working behind your desk, literally until you die. Your journey to a successful sale and increasing the value of your business by 30-50% starts with taking our Exit Valuation Survey. This tells us exactly where you are now, the exact performance of your business, and what you need to do to improve the valuation.
You will see your business from the perspective of a Buyer. And while that value may differ from what you have in mind, it is that Buyer's value that matters. Our job is to close that gap.
You'll get your results immediately, plus you can access your Valuation Risk Snapshot and can speak to our analyst team on a complimentary call to discuss your results, increasing value and exit options.
There is nothing more important to us than protecting our client's retirement and legacy. Baby Boomer business owners are at risk of having to sell their business for far below its true worth in the current market or working until they're 80, simply because they don't know how to successfully transition out of their business and prepare it for sale. It means M&A firms or buyers can get your business at a steal, and 12 months later, profit millions from your lifetimes work. We set out to put a stop to that, and the feedback from our clients have made it all worthwhile.
T. F. - Danvers, MA
When I first met with Rick, Steve, and the Exit Team, my 35-year-old machine shop was worth a mid $3 Million number. 12 months later, I have offers for $5.5-6 Million. These guys were a godsend to my family!
Tony Y. - BOSTON, MA
This process works! When Rick began working with my company, we were entertaining mid/high single million-dollar offers from competitors who did not have the cash up-front. After following the 7 Pillar System, and bringing in the Exit Team & legal colleagues, we successfully sold the company within 9 months for a “mid-teen million dollar” cash figure, where EBITDA was increased and the multiple was 1.5-2 x higher.
*The Lower Middle Market is comprised of businesses worth $5-$30 million, typically having EBITDA of $1 million - $4 million.
The 7 Pillars of Value Creation is our name for our work as Business brokerage services and related consulting pertaining to business sales, mergers, acquisitions and business valuation. Exit The Family Business the downloadable guide and any accompanying assets or affiliates are provided for informational and educational purposes only. It is not intended to provide tax, accounting or legal advice, nor is it an offer or solicitation to buy or sell, an endorsement or sponsorship of any company, security or fund. Certain owners, officers or affiliates may be associated with investment firms and may make referrals from time to time for such services, but this does not constitute investment advice, nor should it be construed as Exit The Family Business being in that business. We always suggest you seek professional advice. Past results are not a guarantee of future results.