Nine steps to be aware of when an entrepreneur sells startup

BySteven Depolo

Selling the launched company is very important for the founder of startup, it is no exaggeration to say that it is the turning point of life. Invest in startup regarding the sale of such important companyY CombinatorTo work forJustin KanMr. Mr. has published an article titled "Nine steps to be watched when an entrepreneur sells a company".

The Founder's Guide To Selling Your Company

◆ 01: to grasp the time suitable for selling the company

BySteve Grosbois

The best time to sell startup is when you feel that you do not need to sell or do not want to sell. There are those who think about selling when the company's management is in trouble, such as when you are having trouble collecting funds or when you are about to lose a fight with competition, but the number of companies that negotiate at that time is few, It tends to sign a contract even if it is not good. So it's better to think about selling when you can afford to abandon the offer.

◆ 02: Negotiate for sale

ByMarcelo Moltedo

Unless there is a clear will to sell the company, you should not negotiate. Since selling negotiations are more mental and physical dislike than fundraising, it is dangerous to accept negotiations to sell beyond the time you feel like "you want to sell" or "you are likely to receive an offer as requested".

◆ 03: Value of the company

ByJay Hsu

When there is negotiation for acquisitions, the amount initially presented is rarely appropriate, so you should have the courage to say "impossible" for the first offer. Even refusing the first offer is unlikely to break down the negotiations. In order to sell the company at the price you want, it is important to show the attitude that "even if you quit the negotiation, you do not have any problem", sometimes you are willing to compete bidding.

◆ 04: Get an offer to buy

ByMaryland GovPics

In order to receive the best takeover offer, companies that are requesting acquisition should talk about "how to work together efficiently". When the other party wants to make an offer for purchase again, it is when it is judged that "acquiring is better than becoming a business partner", it is advantageous to negotiate.

◆ 05: Offer not to be accepted

ByLiz west

Most of the companies' offer offering for acquisitions is not worth thinking about selling. Companies coming out offering that the expiration date is not clarified or whose response deadline is extremely short within 24 to 48 hours are not seriously tackling the acquisition.

◆ 06: Hire a banker

ByWally Gobetz

It is very expensive to hire investment bankers, but excellent investment bankers understand market forces and have the power to see which companies are planning to buy with the most expensive amount. It is also excellent in negotiating skills to raise the sale price, eventually getting it.

◆ 07: Company data management

ByHeisenberg Media

When negotiating the sale of a company, it is better to disclose company data as much as possible to the opponent. However, you should never accept "Interviews with your employees" absolutely.

◆ 08: Sign the conditional statement

ByTMAB 2003

Before signing the conditional statement, review the offer again not only from the business but also from the perspective of the law. Therefore, if the negotiation deadline is about to pass, you should postpone the negotiation deadline. Once the negotiation is established, the right to change the contents will be lost to the selling side. However, even after signing the condition provision document, it is sometimes destroyed unilaterally by the opponent, so it is not prohibited to say that you just signed.

◆ 09: Procedures such as stock transfer and business transfer


Including the most risks in the selling process of the company is the procedure such as stocks and business transfer that comes at the end of the last. In most cases, the equity / business transfer procedure will result in lawyers dealing with legal elements, founder's processing business elements. In order to finish the procedure successfully, it is important to hire an excellent lawyer and ensure that the lawyer is working for himself, not the opponent.

in Note, Posted by darkhorse_log