Characteristics That Appeal to Buyers

Part 2 of 10 Part Series

When purchasing a business, buyers focus on businesses capable of operating with little or no dependence on their owners. Other quality characteristics include businesses with:

• Scale beyond a total dependence on the owner

• Proprietary products, services or processes

• Strong, remaining management

• Defensible, differentiated market position

• Stable, diverse customer base

• Recurring revenue business model

• Business growth (opportunities)

• Strong operating margins

• Manageable business risk

• Quality business and accounting systems

• Audited annual and timely internal monthly financial statements