You hear it often: "In three years, I want out." Sounds realistic, as long as you start today. Selling a business is not a push of a button, but a journey of choices, preparation and letting go. The earlier you start, the more control you keep over time, price and who takes over. In three years you can get your figures, your organization and yourself ready to sell without rushing.
Why three years is a smart horizon
Many entrepreneurs think: when I'm ready, I'll start the process. In practice, you are then often too late. Buyers primarily assess risk and predictability. That requires a track record that you don't build in three months.
Three years gives room to:
- Get your numbers in order and improve (margin, cash, accounts receivable);
- decrease dependence on you (transferability);
- renew or establish key contracts (customers, suppliers);
- test strategic choices and prove them with results;
- mentally practice letting go, step by step
👉 In short, three years is enough time to build value instead of just selling.
Here's how to recognize a late exit
Suppose you wait until you really have to. Then you often see this pattern:
- you are up and growth business is stagnant;
- no follow-up or second line to take the wheel;
- missing or garbled figures;
- a story that does not excite buyers;
- time pressure, negotiating "under the clock" and thus concessions.
👉 Consequence: lower yields, more stress and less impact on conditions. That's a shame, because much of it is preventable with timely preparation.
Your roadmap in 4 stages (36 months → exit)
The chart below will help you work in a focused way. Think of it as a project, not a stopgap measure.
Phase 1 - Orientation & baseline measurement (0-3 months)
- Motivation & goals: why do you want to sell? What do you want next? This determines exit form and timing;
- Global valuation: not an official appraisal, but a reality check on bandwidth and value drivers.
- Map risks: dependent on you, on one customer, on one supplier or on one product? Write them down.
- Data stock in order: up-to-date management information, monthly reports, KPIs and a simple data room (folder structure with contracts, HR, finance).
👉 Result: you know where you stand and where the biggest value leaks are.
Phase 2 - Build value & reduce dependency (3-12 months)
- Team & transferability: appoint a second man/woman, document work processes and make tasks transferable;
- Commercial base: diversify your customer base, renew contracts and build recurring revenue where you can;
- Financial hygiene: tighter working capital, clear cost allocation, and a predictable margin;
- Legal housekeeping: record agreements, renew licenses, check IP and AVG. No jargon needed: make sure everything is findable, valid and understandable.
👉 Result: less "key person risk" and cleaner numbers is exactly what buyers are looking for.
Phase 3 - Proving scalability (12-24 months)
- Sharpen proposition: what problem are you solving and for whom? Short, distinctive and price-conscious;
- Repeatable growth: marketing and sales machine with measurable funnels and conversions; grow revenue and margin together;
- Technology & processes: automate where possible; replace customization with modules. Less variation, more efficiency;
- Steering by metrics: monthly KPI review with your core team. No dashboards for the sake of dashboards, but decision information.
👉 Result: a year's worth of "proof" that the machine runs without your daily intervention.
Phase 4 - Preparing for trial (24-36 months)
- Story & material: write your investment story: market, position, growth paths, risks and mitigation. Create a short Information Memorandum (IM) that inspires curiosity;
- Vendor-due-diligence light: have an independent check on numbers (quality of results), contracts and risks. Leak better now than in the final phase;
- Buyer universe: consider who can buy (strategic, financial, management buy-in). Link your story to their logic;
- Process planning: timeline, stakeholders, information sharing and "no go" conditions (price range, post-deal role, earn-out limits).
👉 Result: you start the sales process with grip, material and a clear bandwidth.
Value factors buyers pay for
Buyers pay for future cash flows and lower the price for risk. So target thrusters that serve both:
- Recurring revenue
Contracts, subscriptions or maintenance contracts increase predictability. Tip: Standardize maturities and indexation.
- Growth potential with evidence
Not "there is a lot of market," but: pipeline, conversions and case studies. Show what €1 extra commercial euro generates.
- Scalable operation
Standardized processes, light overhead and technology that grows with you. Tip: Document 10-20 critical work processes and train your team on them.
- Healthy margin and cash
Gross profit and cash creation are leading. Small improvements (price, mix, purchasing) often yield surprisingly large value points.
- Low risk
Distribute customers, secure IP, replace verbal agreements with contracts, establish data security. It takes bumps out of due diligence (the buyer's book review).
The human factor: letting go without emptiness
Selling is also about you. If your whole identity is "owned", decision-making becomes difficult and negotiating becomes emotional. Therefore, practice letting go in time: less operational, more coaching. Think about your role after the deal and avoid an earn-out (an after-payment based on future results) that limits your freedom too much. Better: clear goals, short periods and realistic KPIs.
Case study
An entrepreneur in business services decided to work three years ahead. In year 1, he documented processes and built a second line. In year 2, he standardized services and increased prices by 3% tied to value. In year 3, 35% of revenue came from 24-month contracts. During the sales process, he received multiple bids; not through "magic," but through predictable results and a team that ran independently.
Summary & next step
In short, a "in three years" exit only works if you start today. Three years is enough to lower risks, build evidence and get yourself ready for the next phase. Make it small and concrete: a baseline measurement, a list of top three risks and a monthly rhythm to ensure progress.
Suppose you start this month. In 90 days, you'll have a clear starting point, a plan and the first improvements in your numbers. In 12 months, a team is in place and you're running on processes instead of you. Then you step into the sales process with peace of mind and options.
Want to know how your business is doing? Plan an informal chat and get insight into your starting position and the 3 most profitable actions for the next 90 days in one session.
