Build Your Business to Sell
Banwarilal and Mungerilal were close friends and both had their businesses. Their businesses were more than 2 decades old. Though they were good friends their approach of doing business was different, this was not known to them until the day when both decided to handover their mantles to their sons. To their surprise both of their sons denied getting in to their age old businesses.
For some time Banwarilal and Mungerilal looked worried, Banwarilal had an idea, he told his friend so what if our sons don’t want to continue our business, we can as well sell our business and use the sum for our retirement. Banwarilal was visionary, he had planned for the eventuality, he could sell his business. Mungerilal could not, even after 20 years of hard work, Mugerilal was stuck in his business and was forced to continue doing business even when he wanted to retire.
Learning from the Story
- Build your business to sell
- You may not need to sell it, but when time comes you should be able to sell in part or full and get the returns out of business
- Just the thought of starting our business to sell give tremendous clarity and helps build a valuable business. We don’t tend to get emotional and attached with the business and this approach helps in taking rational decisions.
Questions to ask our self
- Have I build my business to sell?
- What is worth of my Business?
- How can I build a business which can be valued in multiples of my turnover and can be sold when needed?
