"You don’t sell a business. You sell a machine that runs without you. Build the machine."
Adam Kreek
Founder Built for Hard
- Date
How to Maximize Enterprise Value When Selling Your Business
posted in Business Coaching
Adam Kreek
The key to a premium exit isn’t just revenue—it’s reducing owner dependency across six critical systems.
Only 10% of businesses that go to market get the value they expected... Why?
Because the business is too dependent on the owner.
You are the bottleneck.
You might also be the engine, the steering wheel, and the cupholder.
If your business grinds to a halt when you're on vacation, you've built a job, not an asset. And buyers don’t want to buy jobs. They want to buy systems.
The Shocking Truth About Business Exits
Let’s start with the data:
“50% of all business exits are involuntary and forced by external factors.
79% have no plan.”
— Exit Planning Institute (EPI)
And if that’s not enough to make you reach for the aspirin:
- Only 30% of businesses that list in the marketplace actually sell
- Only 10% receive the value they expected
The lesson?
Exit planning isn’t optional. It’s urgent.
The 24 Value Drivers: Stop the Chaos and Build a Sellable Business
Based on frameworks from Propel Your Business, EPI, and Cultivate Advisors, we’ve identified six enterprise value categories. Each includes four key drivers to stop the chaos and boost your valuation.
If you're looking to sell your business—or just want it to run without sucking the life out of you—these are your playbooks.
FINANCIALS: Clean Books, Predictable Cash, Intelligent Growth
A buyer wants clarity and confidence in your numbers.
Key Drivers:
- Financial statements are accurate and timely
- Revenue is predictable and recurring
- Margins are growing—not shrinking
- Cash flow is strong and monitored
Red Flag: If you can't show a 3-year trend of clean books, you’re asking buyers to believe a story without data. Good luck.
SALES: Predictability, Pipeline, and Transferability
Buyers want to know: Where does the next dollar come from?
Key Drivers:
- Reliable sales process
- Documented pipeline management
- Diverse client base (no whale risk!)
- Performance metrics (and people) are tracked
Problem: If the founder is the top salesperson, you’ve just devalued your business.
TALENT: Systems for People, Not Just People in the System
People build your business. But systems scale it.
Key Drivers:
- Clear accountability structure
- Strong leadership bench (not just you!)
- Proven hiring process
- Retention of A-players
Owner Dependency Trap: If your top talent leaves when you leave, your business isn’t valuable—it’s volatile.
MARKETING: Message, Measurement, and Maturity
Your story sells before your team does. Is it working?
Key Drivers:
- Clear value proposition
- Established marketing engine (not just word-of-mouth)
- Multi-channel lead generation
- Measurable marketing ROI
Quick test: Can your sales team explain your unique selling proposition in under 30 seconds? If not, you’ve got work to do.
LEADERSHIP: Vision, Values, and Exit-Ready Culture
Culture drives value—but only if it’s documented and repeatable.
Key Drivers:
- Clear values that guide decision-making
- Mission-driven strategy (tied to long-term ROI)
- Succession planning in place
- Measurable culture metrics (like engagement or NPS)
Insight from ViDA: When personal values and company values align, performance improves. And yes—buyers can feel that.
PRODUCTIVITY: Systems > Superstars
Systems scale. People burn out.
Key Drivers:
- Standard operating procedures (SOPs)
- KPIs tracked and reviewed
- Technology supports, not replaces, performance
- Accountability rhythms (meetings, reports, dashboards)
Olympic lesson: Rowers win races with rhythm, not brute force. Your team needs rhythm, not heroics.
Stop Being the Bottleneck: Move from Hero to Architect
You can’t sell what you are. You can only sell what you built.
The most valuable businesses:
- Run without the owner
- Operate through systems
- Scale through people and processes
If you are the business, your business isn’t worth much.
Why Most Businesses Fail to Exit Well
Let’s go back to the data from the Exit Planning Institute:
Five Ds derail most business exits:
- Death
- Disability
- Divorce
- Disagreement
- Disruption
And 79% of business owners have no plan. Don’t be one of them.
So, What’s Next?
If you're serious about maximizing enterprise value:
- Audit your owner dependency: Where are you still in the weeds?
- Assess your 24 Drivers: Which of the six categories is your biggest gap?
- Build a team of advisors: You can’t fix this alone.
- Create an exit plan—even if you're not selling yet. Start now.
Enterprise value is built in years, not months.
You don’t sell a business. You sell a machine that runs without you. Build the machine.
BONUS: Want a Custom 24 Driver Assessment?
Let’s audit your business together.
Reach out and we’ll map your current value across these six categories, using proven methodology from UBS, Benchmark International, and EPI—adapted for Canadian businesses and values-based leaders.
Book a call or message me directly on LinkedIn.
–––––
Adam Kreek and his team are on a mission to positively impact organizational cultures and leaders who make things happen.
He authored the bestselling business book, The Responsibility Ethic: 12 Strategies Exceptional People Use to Do the Work and Make Success Happen.
Want to increase your leadership achievement? Learn more about Kreek’s coaching here.
Want to book a keynote that leaves a lasting impact? Learn more about Kreek’s live event service here.