Summary:
Jim and Shola talk about setting up your company for your exit plan and the best way to get there.
Main Questions Asked:
- Tell us about your first company?
- Were you thinking about an exit when you started your business?
- So, you decided to sell because you just wanted to be proactive and move on?
- How did you find the company/person that you sold your company to?
- How long did it take you to get the deal done?
- Was there anything that you wish you would have done differently?
- Who is the perfect customer for you and how do they connect with you?
Key Points made:
- Entrepreneurs think a lot about the start-up process, but not a lot about the exit. (3:47)
- Most small businesses don’t have an exit plan, I was in that camp. (4:28)
- I didn’t have the fire about the business anymore. (5:07)
- Letting go of your business is not easy. (6:10)
- Perhaps 2 in 10,000 businesses grow to 8 figures. (6:30)
- Because the largest businesses grow through acquisition, it made sense to sell to a bigger company. (8:30)
- I thought about what features a business buying another business like mine would want. (9:10)
- I asked them to make an offer first, but I knew I had done my homework on the valuation. (11:00)
- It took about 30 days to finish the deal. (13:00)
- I did make some mistakes on a tactical and strategic level. (13:53)
- I did not do any exit planning when I began as an entrepreneur. (14:10)
- I would consider in subsequent businesses to buy part of other companies rather than the whole company. (16:00)
- Digital Sales has three main pillars, customer research, online advertising, and follow up. (17:08)
- You would be surprised how many businesses are not following up. (18:00)
- Being able to buy awareness and go from a click to a client. (18:40)
Resources Mentioned:
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Tennessee Valley Group
Jim Cumbee established Tennessee Valley Group to help business owners fulfill their dreams for life after business ownership.
It’s a mission that his 30+ year career history had prepared him well for—in addition to being an attorney, transition mediator and business broker, Jim has been a buyer, seller, and entrepreneur. His broad range of experience gives him unique insight into how business buyers and sellers can achieve their goals.
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