Welcome back to the Mid Market Insider!
Today, I’m breaking down what actually makes buyers pay higher multiples—and why strong revenue, EBITDA, and growth numbers alone often aren’t enough to make your business truly attractive in an acquisition process.
Thinking About Selling Your Business?
I’ve spent nearly 20 years buying, growing, and evaluating companies.
If you’re considering a sale or just want to understand more about my role and what we do, feel free to grab 30min on my calendar below:
When it comes time to exit, most business owners assume buyers care most about 3 things:
Revenue
EBITDA
Growth
And sure, those things matter…
But many private equity buyers will pass on a business with great numbers, for reasons you’ll never see on a spreadsheet.
And worse?
They’ll never even tell you why.
I’ve successfully bought 10 businesses with my own private equity firm. So I’ve sat on the other side of the table, and I’ve reviewed hundreds of deals.
In other words, I know what buyers look for.
So today, I’m going to show you 5 different strategies to make your business more attractive to buyers.
In this YouTube video, I go deep into what actually makes buyers pay higher multiples… and what you can do (before you go to market) to shift the odds heavily in your favor.
Here’s some of what you’ll learn:
The almost-magical four letter word that buyers want to hear – but which most owners (wrongly) think they can’t say
Why NOT hiring an M&A advisor can sometimes get you more interest from buyers
A surprising way to lower a buyer’s risk – and attract a higher multiple – simply by talking to your direct competitors. (Almost no mid-size business owners even think of doing this, but PE firms love it.)
Some of the advice in this video will probably contradict what you’ve been told before…
But if you’re serious about selling your business someday – even if it’s years out – this is well worth watching now.
And if your business is doing $5M+ in revenue, and you want to know more specifics about what would improve your valuation, then maybe Pre-Sale Prep could help you.
That’s all for today’s newsletter! Thanks for reading!
📅 Next Week:
In next week’s edition, I’ll break down why waiting for the “perfect time” to sell can quietly destroy your chances of a successful exit.
And how to tell whether your business is truly ready to sell—or if you’re unknowingly delaying the decision for the wrong reasons.
Keep building,
Nick
In Case You Missed It: Must-Watch Video
How to Make Your Business More Attractive to Buyers Private Equity Perspective
Click the link below and check it out:
