Even great businesses fail to sell when owners fall into these common traps.
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Overvaluation Based on Emotion: Buyers don’t pay for your “blood, sweat, and tears.” They pay for future cash flow. Avoid “guessing” your price; use market data from similar Tampa Bay sales.
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Owner Dependency: If the business can’t run without you, it’s not an asset—it’s a job. Start delegating day-to-day tasks at least a year before selling.
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Breaching Confidentiality: If employees or competitors find out you’re selling before the deal is inked, it can destabilize your operations and kill the deal.
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Neglecting the Buyer’s Background: Not all money is good money. Always conduct due diligence on the buyer to ensure they have the funds and the experience to actually close.
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Focusing Only on the “Top Number”: A $5M offer with $2M in “earn-outs” (performance-based pay) might be worse than a $4M all-cash offer. Look at the deal structure, not just the headline price.
Michael Shea represents the Tampa Florida Transworld office. In business since 2005, he has established a reputation as a trusted business broker across Florida’s key markets- from Tampa to Orlando, Melbourne, and more. Over the past two decades, Michael and his team have closed over $1 Billion in sold business volume and presided over more than 450 transactions. His credentials include the IBBA Certified Business Intermediary®, and most recently, the prestigious Certified Exit Planning Advisor® (CEPA) credential.