It’s a tightrope walk between transparency and caution…
Particularly with a trade sale, where a competitor might be on a fishing expedition, rather than a genuine acquistion hunt.
Give away too little and buyers can’t fully appraise the opportunity.
Give too much and you risk handing over competitive intelligence.
A few thoughts on striking the right balance…
▶️ Consult with your closest advisers and business partners, regardless of the NDAs you have in place. Carefully vet the short list of your competitors.
▶️ Address any gaps in your business that could undermine its value BEFORE you start the process.
▶️ Keep your top team plugged into the process, to avoid any third parties destabilising your business – intentionally or otherwise.
▶️ Get on the front foot and control the narrative, to avoid news of an exit ‘leaking’ into the market and reaching your customers.
▶️ Set clear expectations around what information you’ll disclose at each stage.
Make sure you get the balance right if you want the process to run smoothly…
#sme #business #exitlaunchpad #M&A #mergers #acquisitions