If exiting your business in the next couple of years is on your mind, the landscape is shifting…
What worked before, to scale your business to an exit, will need much more sophistication in 2024.
Why?
🔹 Buyer Expectations are UP → By that, I mean expectations around recurring and re-occuring revenue, long lifetime customer values and bulletproof systems and infrastructure to drive customer acquisition and fulfillment…
🔹 Tighter Financing Conditions → In other words, shrinking pools of capital and tightening risk profiles for leverage. You need to thoroughly prepare for heightened due diligence from acquirers.
🔹 Lower Valuation Multiples → We’ve seen a compression in purchase price multiples across many sectors. Tech has been an obvious casualty and the recent AI frenzy won’t translate into higher multiples for any old tech company, simply because they rebrand as an AI business.
More proof that you can leave your next level of growth and an accelerated exit to fate – or you can find strategic partners to unlock the full value of your business in a much shorter timescale.
#scaleup #nextlevelgrowth #exitlaunchpad #M&A