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Additional Ways to Market Your Company for Sale

If your initial marketing campaigns to sell your business aren’t yielding the desired outcomes, it’s time to consider the following essential steps.

If potential clients aren’t seeking you out, it might be necessary for you to take the initiative.

You have the opportunity to reach out to four distinct categories of buyers: individuals, financial buyers, strategic buyers, and those already connected to your business, including managers, employees, or family members.

Additionally, you can concentrate on focused advertising through platforms like Google, Facebook, YouTube, and others.

However, it’s important to be mindful of certain established methods, each carrying its own set of risks. A primary concern is maintaining confidentiality. People often assume that a business is up for sale due to financial instability. This perception could lead creditors to limit lending, or vendors to be hesitant about long-term commitments. Preserving the trust of valuable clients, vendors, and employees is crucial, preventing any negative assumptions that may arise upon learning about your business being on the market.

For those looking to expand their marketing strategy even further, we offer supplementary recommendations that warrant exploration—beginning with a seemingly obvious yet frequently underestimated approach…

Consider People You Know

Discovering the perfect buyer might not require an extensive search. Could someone within your circle be an ideal match? Have any individuals previously shown interest in acquiring your company?

For Small Businesses: Your life is intertwined with individuals who share the dream of owning a business like yours. Unveiling these potential candidates begins with reaching out. Engage in conversations with those you know to explore ideas, potential affinities, and references. You’ll soon realize that a realm of opportunities awaits.

Leveraging Word-of-Mouth: Your personal network holds tremendous marketing potential. Captivating narratives naturally spread through word of mouth. If your business boasts recognition, this organic approach might be sufficient to circulate news of its sale. Cast a wide informational net. Announce your intention to sell within your circle of friends, acquaintances, and professional connections. It’s worth noting that by doing so, you must be prepared for swift public awareness of your plans.

Print, Direct Mail, and Advertising Strategies: Numerous avenues facilitate placing classified ads, such as industry-specific trade publications or targeted periodicals. Additionally, a direct mail initiative, tailored to business owners or a specific geographic region, can yield fruitful outcomes. Yet, prior to proceeding, consider our article on “Hunting vs. Fishing.” In these scenarios, a thoughtfully crafted, personalized letter is likely to yield optimal results.

Selling to an Employee or Management Team

Frequently, members of your workforce or management team harbor aspirations of becoming business proprietors themselves. Within your own team lies the potential to unearth leads for potential buyers, or conversely, to encounter hurdles and conflicts if not handled adeptly.

What advantages accompany selling to an employee?

Your employees possess a deep understanding of your business operations, strengths, clientele, competitors, and distinctive market advantages. Your existing managers, and individuals within their networks, may possess insider insights that enable swift decision-making. This efficiency can culminate in one of the most seamless sales encounters a seller could envision.

Are there any downsides to selling to an employee?

An employee might lack the necessary financial resources to both purchase your business and invest in its future growth. Transitioning from an employee role to an ownership position can pose challenges, even for the most ambitious of entrepreneurs.

To facilitate a sale to an employee, it’s important to be ready to either partially or fully finance the transaction, or to facilitate financing through a bank.

Announcing your business’s availability for sale to your team could potentially disrupt operations. Employees might grapple with apprehensions about the impending changes, leading to departures or even attempts to sabotage the sale.

Initiating substantial negotiations with the wrong individual transforms the relationship dynamic from employer-employee to that of two business owners. Such a shift can trigger tensions during negotiations and the transfer of ownership. This is especially true if confidentiality is not maintained and discretion is not upheld.

Employee Stock Ownership Plans (ESOPs)

Incorporating employee ownership into a company can be effectively achieved through Employee Stock Ownership Plans (ESOPs), fostering heightened dedication, commitment, and productivity among employees. Moreover, in specific scenarios, selling to individual employees can offer potential tax benefits.

Employee Stock Ownership Plans entail allowing employees to purchase company shares under defined conditions.

Although ESOPs are less common in businesses generating under $5 million in annual revenue, they are intricate and investment-intensive to establish. Maintaining plan compliance with regulations necessitates ongoing evaluation and certification, typically overseen by specialized professionals including accountants, tax advisors, and lawyers.

While the procedure varies, the fundamental approach involves the ESOP purchasing shares upon initiation, often facilitated by a bank loan. Employees may obtain shares as a form of compensation, similar to a 401(K). The ESOP shares can vest immediately or gradually over time, akin to a pension scheme. Upon reaching retirement age, employees gain the flexibility to diversify their ESOP holdings, potentially moving away from company stock or choosing to cash out.

An ESOP structure might align with your business goals, although it’s worth noting that it generally leads to a comparatively lower sales price and is often explored as a final option.

Selling to a Competitor

Selling your company to a competitor offers both benefits and drawbacks, demanding a cautious approach. Competitors possess a firm grasp of your industry and market, often viewing the acquisition as a strategic move to expand their own market presence.

However, unveiling your intention to sell to competitors involves risks. In this aspect, our expertise comes into play, safeguarding your confidentiality when pursuing a competitor as a potential buyer.

Which types of companies engage in acquisitions?

In most cases, when a company acquires another outside of direct competition, it’s driven by two primary motives:

  • Industry Expansion: This involves businesses within the same industry, seeking to extend their reach into your territory. This could encompass local entities or those situated afar.
  • Related Industry Growth: Companies in related fields express interest in augmenting their product or service offerings to cater to your existing customer base. Rather than building from scratch, acquiring your business becomes an attractive option. If you’re considering approaching a company with this kind of “synergistic” potential, be ready to compellingly convey the prospects in a clear and concise manner, satisfying the buyer’s expectations.

Professional Contacts

To enhance your marketing strategy, there’s a multitude of additional contacts you can tap into.

These professionals are in direct contact with potential buyers on a daily basis. When you establish a relationship with any of them that leads to a successful sale, it’s advisable to provide compensation for their assistance.

  • Accounting and Legal Experts: Trusted advisors like lawyers and accountants build rapport with the business owners they serve, and they might be able to connect you with their clients or contacts in their network. Most firms have specialized divisions for specific industries. Make sure to target the division relevant to your field.
  • Consulting Specialists: These individuals maintain close ties with senior executives, positioning them well to introduce you to potential buyers. When reaching out to consulting professionals, aim for direct communication with senior-level contacts. Prioritize researching their expertise and industry focus. Craft a professional introduction that clearly outlines your purpose for contacting them.
  • Industry Associations: Locally, statewide, and nationally, numerous associations cater to professionals in your industry. These platforms facilitate connections among individuals in similar or overlapping businesses through online forums, trade shows, events, and industry-specific publications. Familiarize yourself with the major associations and consider joining them. Engaging with fellow members, advertising within the organization, or participating in events can introduce you to a diverse pool of potential buyers.
  • Active and Retired Senior Executives: Existing or retired executives within your industry possess extensive networks and may be more inclined to recommend potential buyers. Leverage your industry knowledge, both local and broader, to identify executives who could refer you to others in their network or might even be interested buyers themselves.

Other Potential Buyers

Exploring a few other avenues can reveal potential buyers for your consideration.

Competitors’ Employees

Members of a competitor’s workforce or management team might harbor interest in acquiring your company. Identifying the right individuals to approach can be a challenge. Typically, this process relies on word of mouth, local classified ads, or trade press advertising. In more assertive cases, proactive buyers may directly approach business owners or collaborate through brokers.


Your most devoted customers often serve as enthusiastic advocates. Their loyalty stems from genuine appreciation for your offerings, leading them to champion your business. Regular significant purchases, past inquiries about deals or opportunities, and a history of promoting your business within their network mark them as potential buyers. Don’t underestimate this vital group.


It’s customary for businesses to extend their reach by acquiring those they have existing connections with. Rather than persistently outsourcing products or services, the strategy may involve incorporating your offerings within their corporate structure. Referred to as “vertical integration,” this type of acquisition bolsters a company’s value chain, especially when venturing into novel industries or sectors.


Treat an “investor” like any other prospective buyer. If a buyer asserts investor backing, it’s reasonable to request that the investor sign a non-disclosure agreement and furnish qualifying documentation. Ensuring the investor’s credibility is paramount. Without proper qualification, any buyer could pose as an investor to evade scrutiny.

Private Equity Groups (PEGs)

Private equity groups amass capital from limited partners, such as pension funds and insurers. This capital is structured into a fund with an approximate lifespan of a decade. PEGs then invest this capital on behalf of their limited partners, aiming to optimize returns. They acquire privately held companies with the intent to exit these investments within three to five years. Private equity signifies “private ownership of equity,” distinct from publicly held equity. The returns on private equity, due to its private nature, can be challenging to assess accurately. Among mid-sized companies, private equity groups are the predominant purchasers. Typically, they require an annual cash flow (SDE or EBITDA) of at least $1 million.

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