How well prepared are entrepreneurs to get top dollar value when selling their businesses? That’s one of the key questions addressed in a recent study done by the Business Development Bank of Canada, or BDC, called: The Coming Wave of Business Transitions in Canada.
Their study, based on a survey of over 2,500 Canadian entrepreneurs, shows that:
- 41% of entrepreneurs in Canada expect to leave their businesses, largely to retire, and not acquire another company in the next five years.
- Over half of these entrepreneurs intend to sell or transfer their business to someone outside of the family, which means maximizing the value of the business is essential.
- These same entrepreneurs are also less likely to pursue growth, which may drag down the market value of the firm.
To view or download the full BDC report, click here.