How Do You Define Your Business In A Sale?

Mark Johnston
CEO
Tadpole Computer

The process of selling a company can often be a long and arduous process that requires refinement of the way you envision your own enterprise. The pitch you might give to potential customers to win their business might be effective for that specific purpose, but might not garner interest among buyers.

A New Definition for Your Business

As a company prepares to go to market, it will require a new definition of the nature of its business, one that may even evolve over a period of years, especially if it takes multiple iterations to gain traction in the market. Since strategic buyers acquire companies which align with their vision and strategy, their interest in your company is driven by a perspective for which you may not be aware.

As an executive of your company, the method by which you have characterized your business in day to day operations has probably resonated with your organization and has contributed to your success. However, this same characterization may not resonate with a buyer and will require an outsider to provide a fresh perspective. Arbor Advisors, with its extensive experience in negotiating with strategic buyers, provided these fresh insights into our business and highlighted the critical areas which potential buyers would find most relevant.

Internalize Your New Positioning 

As you go to market with your new found definition of your company, maintaining a consistent story across your entire organization can be vital in discussions with potential buyers. All senior members of your company must internalize this definition and preach it to staff members in order to send a clear message about the structure of internal operations. Once an acquisition of your company is finalized, this company-wide definition of your business can smoothen out any clashes of organizational cultures and can minimize any hiccups in the integration of your operations.