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5 New Year's Resolutions That Increase the Sellability of Your Business

The calendar is winding down, and as the year's end approaches, business owners across the country are naturally turning their thoughts toward the future. While setting goals for increased revenue and productivity is standard, savvy owners who might consider selling their business someday are also focusing on a less conventional, but profoundly important, set of resolutions: those that increase the company's sellability.


At KReate Business Brokers, we understand that the decision to sell is a significant one, and the best time to prepare your business is long before the "For Sale" sign goes up.


This December, as you plan for the upcoming year, make these five resolutions a priority. They are designed not just to improve your bottom line, but to significantly enhance the value and attractiveness of your business to potential buyers.


Resolution 1: Clean Up Your Books and Fortify Financial Transparency

Buyers rely on clear, consistent, and verifiable financial records to determine a business's true value and trajectory. Messy, disorganized, or opaque financials are an immediate red flag that can either tank a deal or lead to significant price reductions.


Your Goal: Transition from "tax-focused" accounting to "buyer-focused" accounting.


Key Action

Description

Timeline

Complete Diligence Audit

Have a CPA or fractional CFO review and normalize at least the last three years of financials.

Q1

Formalize Add-Backs

Clearly document and justify all owner discretionary expenses and "add-backs" for easy calculation of Seller's Discretionary Earnings (SDE).

Ongoing

Standardize Reporting

Implement consistent monthly reporting packages that include P&L, Balance Sheet, and Cash Flow statements.

Ongoing

Resolution 2: Document and De-Risk Key Personnel and Processes

A business that relies entirely on the owner for its daily function is not a business; it's a job. Buyers are looking for established systems and teams that can thrive after the current owner departs. High owner dependence is a major risk factor.


Your Goal: Systematize operations and reduce reliance on any single individual, especially yourself.


Key Action

Description

Timeline

Develop SOP Manuals

Create written Standard Operating Procedures (SOPs) for all critical functions (sales, operations, accounting, HR).

Q2

Implement Cross-Training

Identify key roles and ensure at least one other employee is trained to cover essential duties.

Q2-Q3

Formalize Management Team

Clearly define roles, responsibilities, and reporting structure for the management or leadership team.

Q1

Resolution 3: Diversify Your Customer Base and Revenue Streams

Concentration risk—relying too heavily on one client, one supplier, or one product/service—spooks buyers. If 30% of your revenue comes from a single customer, the loss of that relationship could cripple the business post-acquisition.


Your Goal: Reduce the revenue contribution of your largest client to under 15-20%.


Key Action

Description

Timeline

Target New Niches

Launch a specific marketing effort aimed at attracting smaller, new customer segments.

Q1-Q4

Introduce a New Service Tier

Develop a new product or service offering that captures additional market share and diversifies revenue streams.

Q3

Formalize Contracts

Convert handshake agreements with top clients into multi-year, formalized service contracts to demonstrate stability.

Ongoing

Resolution 4: Refresh and Protect Your Digital Assets

In the modern marketplace, a business's digital presence—website, social media following, email list, and proprietary software—is a critical, measurable asset. Outdated technology or unprotected intellectual property can lower a valuation.


Your Goal: Ensure your technology infrastructure is modern, secure, and legally protected.


Key Action

Description

Timeline

Website Overhaul

Update your website to modern design standards, focusing on mobile responsiveness and clear Calls-to-Action.

Q1

Review IP/Trademarks

Consult legal counsel to confirm trademarks, copyrights, and intellectual property are properly registered and documented.

Q2

Data Security Audit

Conduct an external audit of customer data security protocols and address any vulnerabilities.

Q3

Resolution 5: Cultivate a Strategic Advisory Relationship

Preparing a business for sale is not a solo effort. Many owners wait too long to speak with a broker, missing years of opportunities to strategically adjust their business for maximum value.


Your Goal: Establish a relationship with an experienced business broker this year.


Key Action

Description

Timeline

Confidential Consultation

Schedule an initial, no-obligation consultation with KReate Business Brokers to discuss your future timeline.

Q1

Preliminary Valuation

Work with your broker to gain a realistic understanding of your business's current valuation range and areas for improvement.

Q1-Q2

Strategic Planning Session

Use the broker's insights to help shape your 2026 business plan, focusing on specific metrics that drive enterprise value.

Q4

Don't let the new year simply bring more of the same. Use these resolutions as a powerful framework to transition your focus from simply operating your business to owning a highly sellable asset. The work you do this year will directly translate into a higher valuation and a smoother, more successful exit when the time comes.


Ready to start planning your most valuable year yet? Contact the experts at KReate Business Brokers today for a confidential consultation.


 
 
 

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