July 3, 2013

Why selling your technology company is the beginning, not the end

It is not uncommon for business owners to have some hesitation when it comes to selling their technology business. However, M&A activity does not mean the end of their company or the end of their careers.

A technology acquisition can help entrepreneurs move from one project to the next. When a company with complementary goals and ideals is found, business owners can rest assured that their product or services will continue to flourish and reach its ideal customer base.

Vimeo co-founder Jake Lodwick spoke with Inc. Magazine contributor Issie Lapowsky, explaining that "an acquisition is the end of a dream." Another article from the same magazine took a different stance on the matter, saying that Lodwick's attitude was anything but the truth.

According to the second piece, selling a technology business is not when entrepreneurs' dreams come to an end, but rather, it is an opportunity for them to explore other opportunities. For example, the news source said that when Evan Williams sold his organization Blogger to Google, it gave him a chance to create other businesses. One of which helped create Twitter, the popular social networking site.

"Selling a business frees up your brain to focus on something else," the article said. "Lots of entrepreneurs thrive on diversity, and can't fathom the idea of pounding away at the same business for forty years. There is nothing shameful about selling and letting someone else take your idea to a bigger and better place while you give your mind a rest."

Furthermore, the article explained that branching off from one dream to the next doesn't mean that you have failed as a business owner. There is no shame in starting a company you are passionate about, finding success with it and then moving on to another opportunity.