Exiting Mainstreet: Michael Lynch on How to Sell a Smaller Business
July 12, 2024 |
About this episode
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In this week’s episode of Built to Sell Radio, John Warrillow interviews Michael Lynch, the creator of TinyPilot, a hardware device that allows users to remotely control their computers without installing any software.
Like most small companies, TinyPilot was a Main Street business with around $1 million in revenue and roughly $250,000 in profit, so Michael’s story is a revealing snapshot of a typical exit for the majority of small businesses. In this episode, you’ll discover how to:
- Sell a Main Street business.
- Handle a low-ball offer.
- Escape the feeling of being trapped inside your business.
- Distinguish between selling your shares vs. your assets.
- Avoid legal snafus during diligence.
Show Notes & Links
Connect with Michael on LinkedIn
Read Michael’s Blog
Connect with Michael on Twitter
Definitions
Due-Diligence: This is a comprehensive appraisal of a business or investment undertaken before a merger, acquisition, or investment. It seeks to validate the information provided and uncover any potential risks or liabilities.
Earn-out: This is a financing arrangement for the purchase of a business, where the seller must meet certain performance goals before receiving the full purchase price. It reduces the buyer’s risk and aligns the interests of both parties post-acquisition.
About Our Guest
Michael Lynch
Michael Lynch is a developer and blogger with a background in the tech industry who graduated from Columbia University in 2007 with a Bachelor of Science degree in computer science. Michael has worked as a software engineer at Microsoft and Google and as a security engineer at NCC Group. He was the founder of TinyPilot, a company known for its solutions in remote server management. Michael shares his experiences and insights on software development, security, and entrepreneurship on his blog.
