Tools for SMBs

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April 28, 2025

by a professional from York University in Toronto, ON, Canada

Hello, other than talking to brokers, what if any tools are out there to advise small businesses on how to get ready for a sale? I'm thinking about how to prep financials for sale, how to transition founder knowledge, etc. How have you seen owners prep/clean up their financials or train up the buyer. Thanks!
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Reply by a lender
from University of Missouri in Denver, CO, USA
One thing I recommend is keeping clean books the prior 2-3 years before a sale if possible. Makes selling the business much easier.
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Reply by a searcher
from University of California, Berkeley in Los Angeles, CA, USA
FWIW: I sold my last business to a buyer who financed via SBA. Didn't use any tools or courses to prep for sale, Prior to pushing it on the market, I reached out to every potential strategic buyer I could think of. Suppliers, competitors, etc. While I got some interest, I ultimately didn't have clear enough next steps, so I conducted an in-depth video interview and created a CIM tailored to financial buyers. Other than 3 years of tax returns, bank statements, and P&Ls, here's what worth considering at least 12 months prior to sale: - eliminate unnecessary expenses; $1 saved today = $3-5 at close - lower owner workload; put management / automation in place - reduce concentration risk; diversify clients and sources of income
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