Get Your Business Ready to Sell (Practical Playbook)
Buyers pay more for businesses that run on systems—not the owner. Use this guide to tighten SOPs, management, contracts, and access so a buyer can step in with confidence.
Don’t wait: You can list first, then complete this prep in stages while buyer conversations begin.
A simple 30/60/90 plan
Days 0–30
- Create/collect core SOPs for daily ops
- List key logins; turn on MFA + password manager
- Confirm lease assignment path with landlord
- Draft equipment & inventory lists (at cost)
Days 31–60
- Cross-train staff; document manager duties
- Clean vendor/customer contracts & renewals
- Prep summary P&L + simple SDE recast
- Organize digital assets (domain, website, socials)
Days 61–90
- Finalize transition plan & training hours
- Service/maintenance logs up to date
- Insurance review; COI for key customers/landlord
- Light “data room” for diligence (see tiers below)
The 5 pillars buyers look for
1) Operations & SOPs
- Document daily/weekly SOPs for core workflows
- Opening/closing checklists, cash handling, deposits
- Vendor ordering guides & par levels
- Quality standards (photos/specs where helpful)
- Calendar of recurring tasks (payroll, filings, taxes)
2) People & Management
- Org chart & role descriptions (who does what)
- Cross-training to reduce single-point dependency
- Manager checklist: weekly KPIs, cash, staffing
- Onboarding packet & training schedule templates
- Key person risk plan (backup coverage)
3) Legal & Contracts
- Lease: term, options, assignment/consent steps
- Customer/vendor agreements; renewals & notices
- Licenses/permits (status, expiry, transfer steps)
- IP & brand assets (names, logos, domains)
- UCC/liens check; payoff letters if needed
4) Systems & Access (Security Ready)
- Master list of logins; ownership email for each
- MFA enabled; shared via password manager
- POS/accounting/CRM access roles (least privilege)
- Backups for key data (export instructions)
- Handover plan for domains, website, socials, ads
5) Financials & Assets
- 12–36 months P&L + simple SDE add-back schedule
- Sales tax & payroll filings current
- Equipment list (make/model/serial, condition)
- Inventory at cost (method & cadence)
- Working capital expectations at close (if any)
Share in tiers (protect your time)
Tier 1 — Teaser
- Public listing + 6–12 photos
- Revenue & SDE (range ok), price expectations
- Basic highlights (team, location, licenses)
Tier 2 — Summary Pack (NDA optional)
- Summary P&L + SDE recast
- Lease excerpt; key vendor/customer overview
- Ops overview (SOP table of contents)
Tier 3 — Diligence Set (after fit & LOI)
- Contracts, full financials, bank statements
- Equipment/Inventory detail, maintenance logs
- Access role review; transition & training plan
Most buyers don’t need a data room on day one—clarity and confidence matter more.
Lease & Landlord Readiness
- Assignment clause and any required forms/process
- Outstanding arrears/repairs addressed or disclosed
- Contact info & relationship notes (response times)
- What a “qualified” buyer must show (financials, resume)
The quick metrics buyers scan
Health snapshot
- SDE margin (SDE ÷ Revenue)
- Trailing-12 trend (last 12 months vs prior)
- Customer/vendor concentration (>20% = flag)
- Seasonality notes (set expectations)
Risk reducers
- Manager in place; owner hours low
- Documented SOPs + cross-training
- Clean lease path; licenses current
- Digital access tidy; MFA + password manager
Transition plan (make it easy to say “yes”)
- Training hours over first 2–6 weeks (calendar)
- Shadow period & check-ins (weekly cadence)
- Handover of vendors, key customers, and team leads
- Access transfer day-by-day (domains, POS, banking)
- Optional consulting window post-close
Common red flags (and quick wins)
Watch out for
- “Only I can do this” owner dependence
- No SOPs; passwords in people’s heads
- Unclear lease assignment/expiring permits
- Messy books; cash skims you can’t substantiate
Fast improvements
- Write the top 10 SOPs (one page each)
- Centralize logins; enable MFA; set roles
- Confirm landlord path; collect forms
- Summarize SDE add-backs clearly
Note: This guide is general information, not legal, tax, or financial advice. Always consult a qualified attorney and CPA for your specific situation and jurisdiction.