Most business owners dramatically underestimate what it takes to sell successfully—until it's finally too late.
@Tony Brown founder of @DMA is a seasoned expert in Australia's mid-market transactions. We talk about hidden pitfalls that lead to owners leaving money on the table, and the critical steps in preparing your business two years before selling.
We break down how owner dependence, cultural fit, and timing can make or break your sale.
And, you'll learn about why cleaning up your balance sheet, structuring flexible exit options, and keeping key staff informed is so important.
The episode is very timely for an owner on the cusp of selling.
In this episode:
- The common surprises owners face in the sale process
- Why understanding your business's true value is crucial early on
- The differences between small and mid-market sales—what you need to know
- How strategic buyers think and what influences their offers
- The importance of owner readiness and timing (two years out, ideally)
- How to make your business more attractive and less risky for buyers
- Owner dependence and succession planning secrets
- The critical role of info memoranda, data rooms, and due diligence
- Protecting your legacy, staff, and your own peace of mind
- Practical tips for entrepreneurs aiming for a smooth, profitable exit
Timestamps:
00:00 - Why most owners leave money on the table in a business sale
02:10 - The importance of viewing your business from an outsider's perspective
04:23 - How due diligence can turn your business upside down
05:25 - Defining the mid-market: what most Australian businesses look like
07:11 - Why a business is more like a virtual walkthrough than a house
09:42 - The crucial difference owner-operator mindset vs. strategic buyers
12:19 - The sweet spot: industry focus and the role of strategic vs. financial buyers
14:43 - How owner emotional ties influence negotiation and sale strategy
16:34 - The significance of cultural and strategic fit over price alone
18:55 - How foreign acquirers and local sellers can align interests
20:19 - The importance of owner transition planning
22:53 - Why your business "value" depends on owner involvement and planning ahead
24:54 - The power of structure: minority shareholdings, options, and de-risking deals
26:48 - Transitioning to a project-focused exit and meaningful post-sale work
28:28 - The rise of industry-specific, project-based advisory boards
30:24 - How industry giants buy and what that means for small business owners
33:34 - Protecting your business from over-sharing and maintaining confidentiality
37:07 - The risks of rushing a sale—what owners often screw up
40:34 - Preparing your balance sheet and operations two years prior to sale
43:24 - The common pitfalls when owners get overattached to systems and tech
45:39 - The underrated value of intellectual property and brand assets
48:29 - Envisioning a better small business environment—less regulation, more supportIf you want to walk away with a clear game plan, more confidence, and less risk in your exit strategy—this episode is a must-listen. Tony Brown's insights aren't just theory—they're battle-tested, real-world truths that could maximize your sale and protect your legacy.
Resources & Links:
Connect with Tony:
Thanks for listening. Visit the Owner To Owner Podcast website to subscribe, listen back, or check out any resources or information mentioned on the show.
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Reach out to Michael Kerr via the website if you need personal assistance or advice for your small business.
michael.kerr@kerrcapital.com.au
www.ownertoownerpodcast.com.au