Don’t sell yourself short when selling your technology company
In a job interview, would you ever glaze over certain accomplishments? Or be as modest as possible when asked about your skills and why you thought you were a good fit for the company? Of course not, so if you are looking to sell your technology business, why would you have the same approach?
That is the question that Charlie Burckmyer and Scott Noll asked when they began their journey to acquire a company. The duo explained to the technology and business blog Entrepreneur why red flags went up with the first firm that they met.
"They were very ambiguous on questions we had about the nature of their business, who their customers were, why customers bought and so forth," Burckmyer told the news source.
The story was also inconsistent and vague on why the smaller firm wanted to sell. Burckmyer and Noll were nervous and did not see enough favorable reasons to go through on the deal.
Technology mergers and acquisitions can benefit both parties, as long as those selling the business are able to actually sell it. Explaining the details of your company and how you have found success is crucial to keep M&A activity moving forward.
John Warrillow, an expert in mergers and acquisitions, told the news source that successful sellers are not only creating profitable companies, but they are creating businesses that can handle transfer of ownership. Also, these entrepreneurs are forthcoming about their successes and are able to actively work toward finding the right technology merger or acquisition.
Confidence is key, according to Burckmyer, and if the current owner is confident in his or her firm, it bodes well for those looking to acquire.