A company valued at €6 million does not necessarily leave €6 million to its shareholders. Net debt, cash, working capital and other adjustments can change the value of the shares and the amount ultimately paid at closing.
A company valued at €6 million does not necessarily leave €6 million to its shareholders. Net debt, cash, working capital and other adjustments can change the value of the shares and the amount ultimately paid at closing.
An SME generating €5-10 million in revenue may be large enough to attract a buyer, but size alone is not enough. Profitability, revenue quality, niche positioning, independence from the founder and growth potential all influence whether there is a real market for the business.
When business owners approach succession, their attention often turns to who will take over and how to transfer shares to family members.
Preparing to sell a company often begins long before an entrepreneur is ready to make a final decision. There may be no buyer at the table, no advisor appointed and no negotiation underway. There is only a thought that becomes more frequent over time: “At some point in the next few years, I may want to consider selling the company.”
When someone talks to you about the possibility of selling your company, your first reaction may be surprise, irritation or distrust. “Why are they telling me this right now?”
An unsolicited company valuation can influence expectations long before a structured sale process begins. But a number expressed informally rarely reflects the real market value of an SME. This article explains why hearsay value can be misleading and how to build a credible valuation.
The EBITDA in your financial statements is a starting point, not an endpoint. In a structured M&A process, it is analysed and adjusted to arrive at a normalised EBITDA that reflects the real and sustainable profitability of the business.
Someone wants to buy your company. You were not looking for them, they came to you. It is a moment many business owners experience at least once, especially when the company is performing well, has a strong reputation in its sector, and numbers that speak for themselves. It is also a moment where it is easy to make mistakes that are hard to undo.
When an entrepreneur considers whether to sell their company or only give up a stake, the issue is not just price. The key decision is about the role they want to play in the next phase: exit completely or remain involved alongside a new partner.
When an entrepreneur considers selling their company or finding an industrial partner, the process is often viewed as a contact-driven activity, with a strong focus on costs and success fees.