Big three Takeaways:
1. Prospective buyers need to understand seller discretionary earnings and the advantages of seller financing.
2. For sellers, the key to increase value is to take yourself out of the day to day.
3. Why buyers should picture a “day in the life” as an owner before buying
Other Takeaways for entrepreneurs
2:00 – When Greg explains what the #1 reason for selling was when he first started and why that has changed looking at the #1 reason now.
3:01 – Business owners by age category in Canada
3:46 - I glossed over it in the interview, but Greg used to work 16 hour days, now at age 73, he's still working 10 hours a day!
6:40 – three reasons owners take so long to retire
7:30 – Greg describes generally when and how owners should start preparing their business for sale.
8:52 – The key to becoming a good delegator.
10:36 – Buyers should think about the unique skillsets they can bring to a business they’re buying.
12:14 – Two of the most important concepts for buyers to understand.
16:03 - Capital gains exemption and why share sales are usually better than asset sales
18:20 – How seller financing aligns the interests of all parties.
21:27 - why many sellers don't know what their business is worth
22:51 - a story of what can happen if an owner waits too long to sell
25:02 - The importance of creating systems well before you're looking to sell
27:50 - "day in the life" test for buyers
30:37 - Why it's better to buy an existing operating entity vs. a new franchise
35:50 - How Sunbelt gets paid and avoids conflicts of interest
41:30 - The most important thing for real entrepreneurship is, do you enjoy it?
42:10 - How to turnaround a business and identify turnaround potential
43:58 – Lessons from Good to Great
More on my guest: