In Quebec, thousands of entrepreneurs are approaching retirement. Many have built solid, profitable businesses rooted in their communities. But selling a business isn't simply a matter of posting an ad or setting a price. It's a long, complex, and, above all, strategic process.
A successful sale begins several years before the transaction . And what often makes all the difference is the ability to unlock the hidden value of the company – especially in service sectors.
The Hidden Value of Service Businesses
In sectors such as B2B, professional, or specialized services, a company's value isn't based solely on its revenue or equipment. It often relies on intangible but essential assets: customer relationships, local reputation, operational know-how, unique processes, a stable team, customer databases, or recurring contracts.
These elements are rarely visible in a simple financial statement, but they can represent a large portion of a company's true value . The problem? Without clear documentation and strategic preparation, this value remains... invisible.
For buyers: it's not a mirage, but it's not magic
Buying a business isn't about acquiring a self-contained machine that generates profits endlessly. The buyer often has to be actively involved , understand the inner workings of the business, learn how to manage customers, and sometimes replace a founder who has been there for 20 years.
This is why the seller's preparation is so important for the buyer : it allows the transfer not only of the company, but also of its stability, culture and structure.
Taking over a business is not a mirage, but it requires a well-thought-out transition – and real collaboration between the seller and the buyer.
What “preparing for the sale” really means
Preparing to sell your business isn't just about improving your numbers. It's about:
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Update financial and legal documents
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Identify critical dependencies (founder, customers, key employees)
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Gradually delegate responsibilities
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Standardize internal processes
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Document practices, customer relationships, intangible assets
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Clarify key performance indicators (margin, recurrence, risk)
TRNSFR offers several tools to support this process:
Timeline: Selling your business upon retirement
Here is an overview of the key steps , spread over a 2 to 3 year horizon, before, during and after the sale.
|
Period |
Key steps |
|---|---|
|
2 to 3 years before |
- Start planning- Business evaluation- Detection of weak points- Reduction of dependence on the founder- Improvement of margins and structure |
|
12 to 18 months before |
- Update of financial statements- Organization of legal files- Standardization of operations- Start of the research process or discussion with brokers |
|
6 to 12 months before |
- Publication of the company for sale ( Show my company )- Interviews with buyers- Preliminary negotiations- Signing of a letter of intent |
|
During the sale |
- Due diligence (due diligence) - Adjustment of terms (financing, transition) - Signing of the purchase offer and the final contract |
|
After the sale |
- Agreed transition period (often 3 to 12 months)- Transfer of knowledge and relationships- Gradual withdrawal of the transferor |
This structured planning increases the value perceived by the buyer , while reducing stress and uncertainty for both parties.
What a buyer looks for (and what he fears)
What every good buyer hopes to find:
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A well-structured company
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Stable margins
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Clear processes
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A loyal clientele
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Tools in place (CRM, monitoring, submission management)
What slows down a sale or lowers the price:
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Total dependence on the founder
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Opaque or disorganized accounting
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Key clients concentrated on a handful of contracts
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Lack of team or middle leadership
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Unidentified risks (tax, legal, HR)
The more the seller anticipates these points, the more he increases his chances of selling at a good price – and quickly.
In summary: selling a business is a retirement project in itself.
Too many entrepreneurs wait until they're exhausted or in a hurry to start selling. However, the best transfers are those that have been planned as a truly structured exit plan .
This is not a process to be improvised, but a transition to be managed methodically.
At trnsfr, we support you with concrete tools and simple services to help you enhance what you have built , and pass this value on to the next generation.
Get started now:
