Readiness check

Is your contracting business ready to sell or hand off?

Every owner exits eventually, and the value they get depends on years of preparation, not the day they decide to sell. A business that runs without the owner sells for a real multiple; one that is the owner is nearly worthless to a buyer. This is general guidance, not legal, tax, or financial advice; confirm with your advisors. The score stays on your device; enter an email only if you want the readiness checklist sent over.

1. Can the business run day-to-day without you (or are you the business)?Yes, it runs without me for weeksMostly, but big decisions need meNo, it stops without me

2. Are your books clean, current, and able to survive a buyer's due diligence?Yes, clean financials a buyer could verifyDecent, but messy in placesNo, the books are a mess

3. Do you have recurring revenue (service agreements/contracts) a buyer can count on?Yes, meaningful recurring revenueSome, mostly project-to-projectNo recurring revenue

4. Is there a management team and depth, not just you and key-person risk?Yes, a team that can run itA couple of key peopleNo, it is all on me

5. Are your operations documented (systems/SOPs), not in your head?Yes, documented systems a new owner can followSome written, much in my headNo, it is all in my head

6. Have you started planning the exit early (years out, not at the decision)?Yes, a multi-year plan in motionThinking about itNo plan

7. Do you understand your exit options (family, management buyout, ESOP, third-party sale)?Yes, I know the options and a likely pathVaguelyNo

8. Have you built an advisor team (M&A advisor/broker, attorney, CPA) for the deal?Yes, advisors lined upJust my regular accountantNo advisors