TL;DR: Documentation drives your business value, because correct records show buyers what the business makes and its growth potential. Mark Daoust of Quiet Light Brokerage says to pick a broker you feel comfortable with, and to consider which buyers your size attracts, since small businesses draw informal buyers. Know your company's value even if you don't plan to sell.
Mark Daoust, founder of Quiet Light Brokerage, discusses the intricacies involved in the selling of an e-business regardless of its size and the preparation it would take to prepare a business to sell.
KEY INSIGHTS FROM OVER $225M IN ONLINE BUSINESS DEALS – WHAT YOU’LL LEARN
- Background of Quiet Light Brokerage
- How to pick a Broker when selling the Business
- Difference between selling a small e-business (5 figures) and a large one (8 figures)
- The Four Pillars of Business Value
- Approaches of a Broker
- Understanding the Levers of a Business Value
KEY POINTS
- Quiet Light has been in existence for fourteen years, selling e-businesses. The experience of selling both big and small businesses have helped them identify key elements in a business to make it palatable to buyers.
- Go with the broker that the seller would feel comfortable with and not just their offers.
- The size of the business being sold would attract different buyers. Small businesses often attract informal buyers seeking to increase their portfolio. The seller should think of what kind of seller they want to attract in order to determine at what size they will sell their business.
- Documentation affects the valuation of the e-business. It is through the correct documentation can one see just how much the business is making and its growth potential.
- As a broker, their concern is the deal structure; not only how much the seller will get but from where it would be coming from and conditions in the payment.
- Getting to know your company’s value is very important, whether you want to sell or not. This would help you make crucial decisions on the business.
80+ in-house specialists across PPC, supply chain, account management and content.
RELEVANT MATERIALS
CONTACT MARK DAOUST
Make sure to visit the QuietLight Brokerage website and send a message to quietlightbrokerage.com for inquiries on selling or buying an eCommerce websites. For more specific concerns you want Mark to address, you can send him a message to mark@quietlight.com.
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