Hi,
Just wanted to share some quick Q&A on what investors look for in your business and how you can get ready.
Q: “Do my years of hard work add value to my business in an investor’s eyes?”
A: Unfortunately, no. Investors look at potential — how the business will perform in their hands, not necessarily how hard you’ve worked to build it. Just like a sports team trades a star player to improve future results, investors assess if your business will win in the future, not what it’s achieved in the past.
Q: “Why do 9 out of 10 business owners fail to get the sale price they want?”
A: Most business owners don’t focus enough on demonstrating believable, predictable growth and future value. Investors aren’t drawn to potential risk without assurance. That’s why businesses with a clear roadmap for growth under new ownership are far more attractive.
Q: “Is passing my business down to my family the best way to preserve my legacy?”
A: Sometimes, but it’s risky. Without proper preparation, even the strongest businesses can falter when handed down. Consider whether your family members are prepared and have the resources to sustain — and grow — what you’ve built.
Q: “Is my business a safe bet or a risky promise for investors?”
A: This is a crucial question. When an investor sees a business with predictable revenue and manageable risk, they’re willing to pay more. But if your business looks like a gamble, investors will hesitate — or walk away. To secure their interest, focus on increasing the predictability and demonstrating the growth potential of your business.
Curious about how to make your business stand out to the right buyer? Log in or join our Business Owners Club for free resources and join the open discussion on November 19.
P.S. Building Legacy and Lasting Value for Business Owners
I help business owners break free from the daily grind to lead with impact, boost value, build legacy, and set up for a successful exit—creating the life they dreamed of, starting today.
Discover how our Socratic Success System brings clarity and tailored solutions, so you can make real, lasting changes with ease.
Find out more at Sophiall.com and on my LinkTree.