Selling Your IT Business
Chapter One
What Buyers Are
Looking For
Buyers purchase information technology (IT) businesses for many reasons.
Naturally, the central rationale behind every purchase is the buyer's
belief that the business will generate value in the future greater than the
purchase price.
Strategic Motivations for
Potential Buyers
The best way to understand what your business looks like to a potential
purchaser is to put yourself in his or her shoes, and in Chapter 3 we look in
some detail at the different types of buyers and what motivates each of them.
For now, let's take a general look at why someone might want to buy your
IT business.
It may satisfy a strategic need. For example, acquiring your business may
enable the buyer to operate with greater economies of scale. A buyer may
also believe that your business would have good synergy with his or hers. For
example, the acquirer may want to expand offerings to existing customers,
and your business may provide a solution-a product, a service, or both.
Solutions can take a variety of forms. Your offerings may enable the purchaser
to conduct business more efficiently and/or attract more customers;
your sales force, products, or services ma ... read full excerpt from Selling Your IT Business: Valuation, Finding the Right Buyer, and Negotiating the Deal ebook
