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Welcome from the author

A successful exit is the ultimate goal of profile, control and purpose they had as
many founders. I’ve been fortunate enough founder of their business.
to speak to a community of successful
entrepreneurs within The Supper Club who There are many things to consider in the
have exited. Each has invaluable insight sale of a business, from finding the right
into how they got the best outcome, and buyer to negotiation and due diligence.
what they would do differently in hindsight. Understanding how to anticipate pitfalls
These tips and tactics are regularly shared Alex Evans, and manage these moving parts is crucial
between members - in peer learning events Programme in getting the best outcome.
and through direct connections - to help them Director,
make more informed decisions on how to exit. The Supper Club Members who have exited successfully
value highly the advice and insight
The total value of member exits in the first accessed through The Supper Club.
9 months of 2017 was £1.2billion, ranging
from MBO to trade sale to PE investment. To help all founders and CEOs considering
Some of these have been headline grabbing an exit, this guide combines advice from
numbers. PCA Predict was acquired by GB our supporting partners with insights and
Group for £73.8m; Dot Zinc, which owns experiences from members who have been
Money.co.uk, was sold to Zoopla for £80m; through the process. This end-to-end tour
Leyou Technologies bought Splash Damage has one purpose – to inspire and inform
for £125m; and Simply Business was sold to anyone planning to sell their business.
The Travelers Companies for £400m. In June,
The Office Group sold its majority stake to Of course, there is no substitute for
Blackstone for £500m. specialist advice based on your individual
goals and circumstances. Nonetheless, we
These are amongst some of the biggest exits hope this guide encourages you to ask the
in the Club, but any sale of a business is life- right questions early enough in the process
changing for its founder. Despite the wealth, to make your exit as successful as it can
members who have gone through the process be. If you are thinking about selling, I hope
say it’s hard to adjust to life without the this helps you to achieve your goals.

Contents

DECIDING WHY & HOW TO SELL SELLING YOUR BUSINESS PLANNING FOR LIFE AFTER EXIT
3. Personal motivations 14. Vendor due diligence 20. Earn-out
3. Exit options 14. Information Memorandum 21. Finding a new purpose
14. Data Room 21. Choosing a wealth manager
PREPARING FOR SALE 14. Due diligence 22. Wealth transfer
8. Succession planning 14. Warranties 23. Investing after an exit
9. Maximising value 15. Dealing with potential buyers 24. Angel investing
9. Choosing your advisers 15. Communication 24. Becoming a NED
9. Financial advisers 17. Negotiating the deal 25. Conclusion
11. Legal advisers The total value of member exits in the first 9 months of 2017 was
11. Tax advisers £1.2billion, ranging from MBO to trade sale to PE investment. These are
12. Adviser checklist amongst some of the biggest exits in the Club, but any sale of a business
is life-changing for its founder.
12. Typical adviser costs Alex Evans, Programme Director, The Supper Club