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Do I sell or look for a hands on partner?

I have a small skincare production business based in Sydney, created five years ago. In a nutshell, I make everything by hand, the products are packaged by a disability enterprise and the brand has a social cause connected to DV shelters. I've built (bootstrapped) the entire business from savings, I'm a single mother working 70 hours a week in - not on, the brand. There is enormous potential for the brand both domestically and internationally, the T/O has increased consistently year on year with an annual t/o last FY of around $223k. Whilst I love what I've created I don't have the energy, time or finances to grow it. I don't know whether to sell completely or attract a business partner with the necessary skill set to help grow it.

1 Answer

Hi Michelle. Wow, what a business you're created! Working those sort of hours when you've taking care of a family can certainly take it's toll after a while. Do you have a Business Plan? Having a Business Plan is a great place to start no matter which direction you decide to go in - forge forward on your own (but now with a clear direction), bring in investors, or sell the business. A Business Plan will help you increase the level of growth, profitability and cashflow in your business; support you to unlock your business potential; provide you with a clear outline of what you need to do to unlock this potential; provide you with a document against which to measure your progress; and importantly will be more appealing to potential investors as they will see a clear vision of where you're wanting to take the business and what they'll actually be investing in. At the moment I'm wondering what the value of the business would be as it sounds like it wouldn't exist without you. So what systems do you have in place? Are they documented? When you have documented systems investors and potential buyers can see something that they can buy, rather than a business that may or may not survive once you're no longer there. And then what about a Marketing Plan or a Cash Flow Management Plan? A Marketing Plan helps you increase the return on your marketing investment; develop a clear outline of the marketing strategies that will work for your business; understand the marketing KPIs you need to monitor; and set SMART marketing goals to achieve over the next 12 months. In terms of Cash Flow Management, we all know that 'cash is king'. Cashflow planning is best practice in any business and critical to survival and growth. Setting cashflow targets and regularly monitoring your actual cashflow against your forecast will enable you to predict large cash outflows and respond to changes in your business. We offer business development services, and help our clients with business systems, as well as Business Plan, the Marketing Plan, and Cash Flow Management. If you'd like to discuss further, I'm happy to have a chat with you. Kind regards, Sarah Stein. Mobile: 0402 811 088. www.missefficiency.com.au

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