The economy is bouncing back and forecast to grow at the fastest rate for 70 years (7.25%).
Notwithstanding the previous dip, it is unsurprising that most businesses we talk to are busy – actually very busy. In fact much of the tech sector has been a beneficiary of the COVID-19 crisis.
The market for tech M&A is also flying, with a record breaking 268 deals announced in Q1 2021. We have just completed the sale of channelcentral.net to US-based 360insights, have 3 other deals in due diligence and a number of others well into the sale process.
All this activity can sometimes take our eyes off the important but not urgent tasks, particularly for those owner-managers considering an exit event. So what are the things that often get left to the back of the queue, but which can have a significant effect on the success of a sale process?
- Owner-manager dependency – It’s very easy to get drawn into the day-to-day operations when the business is humming. Better to get appropriate resource in place early.
- Financial management – Regular and accurate financial information is essential to keep control of a business and equally important when it comes to convincing an acquirer. Putting off your accounts preparation or forecasting should be resisted.
- Management meetings – These are an essential part of growing a business, but too easily delayed or cancelled when we are busy. Perversely this is just the time we need to be routinely considering workloads and resource.
Perhaps when you’re busy it pays to think like a bee. They clearly allocate tasks, think about the next generation and in particular ensure there is also a successor!