How long should due diligence take when you’re selling your business?
Yes I know the answer is a bit like ‘how long is a piece of string?’
But some business owners get dragged through a long and drawn-out due diligence process by the buyer, which ultimately puts the exit itself at risk.
What tends to kill exits, isn’t poor financials or changing market conditions → it’s time delays.
OK – there are ways to speed up the due diligence phase. But there are many other causes of time delays.
In fact, delays happen just as much before an agreement is even signed.
Like procrastination from a business owner about actually kicking off their exit planning.
Or daily fire-fighting in the business which continually takes priority over their long term future.
I see it all the time.
Once the momentum goes out of exit planning and getting a deal done – five years can easily pass you by, all too quickly.
And then it’s back to square one.
#nextlevelgrowth #exitlaunchpad