If you’ve set 2026 as your year to exit, the clock is running. In the middle market, the most successful sales are the result of thorough preparation. So if you’re looking to exit this year, the work should be underway.
At Caber Hill Advisors, we often see founders decide they want to sell, only to realize their internal house isn’t ready for the scrutiny of a modern due diligence team. Profitability is a great foundation, but it is not the same thing as being sellable. If you want to realize best valuation and deal terms possible before this year is out, the time for strategic execution is now.
Why the Runway is Shorter Than You Think
Middle-market buyers are more sophisticated than ever. They aren’t just looking at your current cash flow; they are looking for confidence in your leadership, systems, and growth potential.
To capture a premium multiple this year, you need to address the three pillars of readiness immediately:
1. Leadership & Succession
Buyers need to know the business can survive without you. If your management team isn’t already empowered to run daily operations, you are likely looking at a steep discount or a long earn-out period.
2. Operational Infrastructure
Clean, auditable financials and repeatable workflows are the difference between a smooth transaction and a deal that falls apart in the eleventh hour. If your SOPs are still manual or your data is fragmented, this is your top priority for Q1.
3. Revenue Quality
High customer concentration is one of the most common reasons we see a valuation lowered. A diversified, predictable revenue base with recurring components gives buyers the confidence to pay top dollar.
Don’t Leave Value on the Table
We have seen too many of transactions where sellers were blindsided because the business failed to meet buyer expectations despite strong profits. In a competitive market, the best-prepared companies are the ones that thrive.
Selling your business is likely the most significant financial event of your life. It deserves the same strategic rigor you used to build the company from day one.
If you are aiming for a 2026 exit, let’s get a clear picture of where you stand today. Schedule time with Craig Castelli or a member of our advising team.
