So, You’re Thinking About Selling? Let’s Talk Real Numbers.
Alright—real talk for a sec.
Selling your business isn’t just about planting a big “For Sale” sign on your website and waiting for a swarm of hungry buyers to show up like it’s Black Friday. If only.
I’ve been through this rodeo more than once. I’ve coached folks who were ready to walk away from their business yesterday—burnt out, mentally checked out, and completely unaware that they were leaving tens (sometimes hundreds) of thousands on the table. Why? Because they hadn’t done the work to bump up their business’s valuation before the sale.
You wouldn’t sell your house with the gutters falling off and paint peeling, right?
Same goes here. The business you’re about to sell? It’s an asset. A big one. You’ve gotta treat it like the golden goose it is—polish it, prep it, make it shine.
Here’s how I learned to do that—the hard way—and how you can skip the faceplants and actually increase what your business is worth before you shake hands on a deal.
1. Start With the End in Mind (No, Really)
I had this buddy—let’s call him Mike. Ran a killer HVAC company, pulling in over $1.2M a year. Rock-solid team. Loyal client base. Good margins.
But when it came time to sell? Crickets.
Turns out he was so focused on growing his revenue that he completely ignored the stuff buyers actually care about.
Things like:
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Recurring revenue
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SOPs (standard operating procedures)
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Clean, accurate financials
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Owner independence (a.k.a. “Can this thing run without you?”)
If you want buyers to take your business seriously, it’s gotta look like a well-oiled machine that prints money whether you’re there or sipping margaritas in Tulum.
2. Clean Up Your Business Books—No More Shoebox Accounting
Okay, this one’s big. HUGE.
If you have spent any time reading the blog at Business Broker News then you know that the very first thing a serious buyer will do is look at your financials. If your P&L looks like a Jackson Pollock painting—or worse, if you don’t even have one—buyers are gonna bounce. Fast.
What helped me level up?
✅ Hiring a real bookkeeper.
✅ Getting 2-3 years of clean, GAAP-compliant financials.
✅ Separating personal expenses (goodbye, “business” jet ski ).
✅ Tracking key metrics: gross profit, net profit, customer acquisition cost (CAC), LTV, etc.
Once I had that dialed in, conversations changed. Buyers started taking me seriously. And they started offering more—because they could see the value instead of guessing.
3. Build a Team That Doesn’t Rely on You
Here’s the painful truth:
If your business can’t survive without you, it’s not really a business—it’s a job you happen to own.
Ask yourself: If I disappeared for 3 months, what would happen?
Would things fall apart? Or would your team keep the wheels turning?
I had to eat some humble pie here. I was the bottleneck in every decision. Sales? Me. Customer service? Me. Payroll? You guessed it—me.
Once I started delegating, documenting processes, and empowering a manager to run daily ops… not only did my sanity return, but buyers perked up. They saw the business as transferable, not just a glorified freelance gig.
4. Diversify Your Revenue (aka “Don’t Put All Your Eggs in Facebook Ads”)
One client I worked with had a great e-comm store—but 90% of their traffic came from one Instagram account. One algorithm tweak, and… poof.
Buyers hate that kind of risk. They want to see multiple revenue streams. So:
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If you’re e-comm, add a wholesale or subscription channel.
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If you’re service-based, build in retainer clients.
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If referrals are your lifeblood, systemize outbound and SEO.
Redundancy = security = higher valuation. Period.
5. Lock In Contracts & Recurring Revenue
When I sold my consulting firm, one thing that gave me major leverage was a stable base of recurring monthly retainers.
Instead of chasing one-off gigs, we built 6- and 12-month service contracts. That made cash flow predictable—and buyers love predictability.
So, ask yourself:
Can you turn one-time sales into ongoing subscriptions?
Can you upsell support or maintenance plans?
Can you license your IP or create a membership tier?
The more recurring revenue you have, the higher your valuation multiplier climbs.
6. Strengthen Your Brand’s Digital Footprint
Your brand isn’t just your logo or your color scheme. It’s your online reputation, your reviews, your social proof.
I’ll be honest—I used to neglect this. My website looked like it was built during the MySpace era. But when I revamped it, invested in SEO, and racked up 5-star Google reviews, I noticed a shift.
People started coming to me—including buyers.
Don’t underestimate the power of:
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A clean, modern website
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Active, engaged social media profiles
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A blog or newsletter that showcases thought leadership
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Real customer testimonials and case studies
It adds weight to your brand. It tells buyers, “This isn’t a side hustle. This is the real deal.”
7. Know Your Numbers and the Story Behind Them
During negotiations, you’re going to be asked some uncomfortable questions:
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“Why did revenue dip in Q3 last year?”
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“What’s your churn rate?”
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“Why are margins thinner in your west region?”
And if you say, “Uh… I’m not sure,” you’ve lost half the battle.
Smart buyers don’t just want numbers—they want the narrative. They want to understand your decisions, your pivots, your growth levers. So be ready.
Even better: put together a pitch deck or a simple info packet that walks through the business, the financials, the team, the vision. It shows you’re not just trying to bail—you’re proud of what you’ve built. And that makes all the difference.
Wrapping It All Up: This Ain’t a Garage Sale
Let me say this louder for the folks in the back:
Your business is probably worth more than you think—if you prepare it properly.
I’ve seen people double or triple their valuation just by tightening systems, cleaning up their financials, and repositioning their offer before going to market. And yeah, it takes effort. But it’s so much better than walking away with a fraction of what your business is truly worth.
Look, I’m not saying you have to go all Fortune 500 here. But if you treat your business like an asset—and not just a job—you’ll be amazed at how many doors open.
Key Takeaways
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Clean financials = serious buyers
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Owner independence boosts transferability
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Recurring revenue = higher valuation multiple
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Strong branding & online presence adds credibility
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Data storytelling gives you leverage in negotiations
If you’re even thinking about selling in the next 12–24 months, start this process now. It’s never too early—and when that perfect buyer shows up, you’ll be ready to cash out with confidence.
And hey, worst case? You end up with a more profitable, streamlined business. Not exactly a loss.