SERVICES:
THE EXIT MULTIPLIER™
METHODOLOGY
Guiding business owners in developing comprehensive exit strategies, maximizing business value, and minimizing risk to ensure a successful transition.
A comprehensive 18-24 month engagement to multiply your business value through
strategic acquisitions and premium exit positioning.
**WHAT MAKES THIS DIFFERENT:**
Unlike traditional exit planners who focus only on operational improvements,
or business brokers who just sell what you have, The Exit Multiplier™ transforms
your business into what strategic buyers actually pay premiums for.
**THE OUTCOME:**
Multiply your business value 2-4x by combining:
1. **EBITDA GROWTH** (through strategic acquisitions)
Acquire 1-3 competitors to increase profitability 100-300%
2. **MULTIPLE EXPANSION** (through premium positioning)
Transform positioning to command 1-3x higher buyer multiples
REALISTIC EXPECTATIONS BY STARTING REVENUE:
$1-5M REVENUE BUSINESSES
Starting Profile:
• Typical current multiple: 2.5-3.5x EBITDA
• Single location or regional operator
• Owner-dependent operations
• Limited buyer universe
Target Outcome:
• Target exit multiple: 4.5-5.5x EBITDA
• Multi-location platform (2-4 locations)
• Professional management team
• Expanded buyer interest (strategic, search funds)
Typical Value Increase: 200-350%
Timeline: 18-24 months
Acquisitions: 1-2 strategic targets
$5-15M REVENUE BUSINESSES
Starting Profile:
• Typical current multiple: 3.5-4.5x EBITDA
• Regional presence (single state)
• Some management infrastructure
• Strategic buyer interest
Target Outcome:
• Target exit multiple: 5.5-6.5x EBITDA
• Multi-state platform (5-10 locations)
• Full C-suite management
• PE and consolidator interest
Typical Value Increase: 200-300%
Timeline: 20-24 months
Acquisitions: 2-3 strategic targets
$15-25M REVENUE BUSINESSES
Starting Profile:
• Typical current multiple: 4.5-5.5x EBITDA
• Multi-state presence
• Established management team
• Strong strategic buyer interest
Target Outcome:
• Target exit multiple: 6.5-8.0x EBITDA
• Regional/national platform (10+ locations)
• Institutional-grade operations
• Private equity appetite
Typical Value Increase: 150-250%
Timeline: 18-24 months
Acquisitions: 2-3 strategic targets
PHASE 1: VALUE GAP ANALYSIS & STRATEGIC PLANNING (Months 1-3)
We begin with comprehensive assessment:
→ Value Builder Score® evaluation (8 key value drivers)
→ Current business valuation and exit readiness analysis
→ Retirement goal analysis (how much do you actually need?)
→ Exit value gap calculation (current vs. required value)
→ Market analysis (fragmentation, consolidation opportunities)
→ Ideal acquirer profile (what do strategic buyers want?)
Then we develop your strategic acquisition plan:
→ Target company criteria (size, geography, complementary fit)
→ Identification of 5-10 potential acquisition targets
→ Valuation parameters (what to pay, how to structure)
→ Financing strategy (SBA loans, seller financing, cash)
→ Integration approach (how to combine operations)
→ Exit timeline (when to position for sale)
Deliverable: Strategic Acquisition Roadmap with specific targets
and financial projections showing your multiplied exit value.
PHASE 2: OPERATIONAL VALUE-BUILDING (Months 1-12, Concurrent)
While identifying acquisition targets, we strengthen your
operational foundation:
→ Value Builder Score® assessment and optimization
→ AI integration opportunities (automation, analytics, efficiency)
→ Management team development
→ Financial systems strengthening
→ Process documentation and systematization
→ Customer concentration reduction
**Expected Results:**
• Value Builder Score® improvement: 20-40 points
• Owner dependency reduction: 50-80%
• Customer concentration improvement: Top customer <15% (from 25%+)
• Recurring revenue increase: 10-30% of total revenue
• EBITDA margin improvement: 2-5 percentage points
**Valuation Impact:**
$1-5M revenue: 30-70% valuation increase
$5-15M revenue: 20-50% valuation increase
$15-25M revenue: 15-40% valuation increase
Timeline: 12 months concurrent with acquisition planning
Why operational improvements deliver smaller percentage gains for larger businesses:
Larger businesses often already have stronger operations, systems, and management. The primary value driver shifts from operational excellence to strategic positioning through scale and market presence.
Example:
$3M business improving from 2.5x to 3.5x = +40% ($600K increase) $15M business improving from 4.5x to 5.0x = +11% ($1.5M increase)
Both are valuable, but the percentage impact is greater for smaller businesses starting from lower operational maturity.
This is why strategic acquisitions become increasingly important as your business grows—operational optimization has diminishing marginal returns, but strategic positioning has exponential returns.
PHASE 3: M&A EXECUTION & INTEGRATION (Months 6-24)
This is where The Exit Multiplier™ differs from traditional exit
planning: We don't just advise—we execute alongside you.
ACQUISITION #1 (Months 6-12):
Target Selection & Approach:
→ Finalize first acquisition target from shortlist
→ Confidential approach (preserve relationships)
→ Initial conversations (fit, interest, timing)
→ Preliminary valuation discussion
Due Diligence & Structuring:
→ Financial analysis (quality of earnings, hidden issues)
→ Operational assessment (integration complexity)
→ Legal review (contracts, liabilities, risks)
→ Deal structure optimization (price, terms, earnouts)
→ Financing arrangement (SBA loan, seller note, etc.)
Negotiation & Closing:
→ LOI (Letter of Intent) negotiation
→ Purchase agreement drafting and revision
→ Final due diligence and confirmations
→ Closing coordination (attorneys, lenders, accountants)
Post-Acquisition Integration:
→ First 90 days: operational integration
→ Staff communication and retention
→ Systems integration (financial, operational, CRM)
→ Brand positioning (consolidate or maintain separate?)
→ Customer communication and retention
Timeline: 6 months from target selection to close and initial integration
ACQUISITION #2 (Optional, Months 12-18):
For clients pursuing maximum value multiplication, we typically
recommend a second strategic acquisition:
→ Builds on momentum and lessons from Acquisition #1
→ Creates critical mass (moves you firmly into "platform" category)
→ Geographic expansion or service line diversification
→ Further reduces customer/revenue concentration
→ Demonstrates serial acquisition capability to buyers
Process follows same framework as Acquisition #1, but typically
moves faster due to experience and established systems.
Timeline: 6 months from target selection to close and integration
ACQUISITION #3 (Optional, Months 18-24):
Some clients pursue a third acquisition for maximum positioning:
→ Creates true regional or multi-state platform
→ Achieves $15M-$25M+ revenue scale
→ Positions for strategic buyer or private equity interest
→ Commands highest multiples (5-6x EBITDA or higher)
Timeline: 6 months from target selection to close
PHASE 4: PREMIUM EXIT POSITIONING & EXECUTION (Months 18-24)
With your consolidated platform operational, we position for
your premium exit:
Exit Preparation:
→ Consolidated financials (show combined performance)
→ Integrated operations (demonstrate synergies realized)
→ Professional management team (prove owner independence)
→ Strategic narrative (tell the consolidation story)
→ Market positioning (who are ideal acquirers?)
Strategic Buyer Identification:
→ Private equity firms (platform investments)
→ Strategic buyers (industry consolidators)
→ Family offices (holding company strategies)
Exit Process Management:
→ Confidential marketing (protect business relationships)
→ Buyer qualification (serious vs. curious)
→ Negotiation support (maximize value and terms)
→ Due diligence coordination (buyer questions, requests)
→ Transaction closing support (through to wire transfer)
Target Outcome: Exit at 4-6x EBITDA (vs. original 2-3x), resulting
in 200-400% higher proceeds than selling as standalone lifestyle
business.
WHAT MAKES THE EXIT MULTIPLIER™ DIFFERENT?
VS. TRADITIONAL EXIT PLANNING CONSULTANTS:
Traditional exit planners focus on operational optimization:
→ Strengthen management team
→ Reduce customer concentration
→ Improve processes and systems
→ Document procedures
Result: Maybe 30-50% value increase, still stuck at 2-3x EBITDA.
The Exit Multiplier™ combines operational improvements WITH
strategic acquisitions:
→ Everything traditional planners do, PLUS
→ Strategic acquisition planning and execution
→ Hands-on M&A support (not just advice)
→ Capital relationships to finance deals
→ Post-acquisition integration support
Result: 200-400% value increase, positioning for 4-6x EBITDA exits.
VS. BUSINESS BROKERS:
Business brokers sell what you have:
→ Wait until you're ready to exit
→ Market your business as-is
→ Take 8-12% commission
→ No value-building beforehand
The Exit Multiplier™ engineers what buyers want:
→ Work with you 18-24 months BEFORE exit
→ Transform your business through acquisitions
→ Fixed fee or hybrid structure (not commission-based)
→ Multiply value before marketing
VS. M&A ADVISORS:
M&A advisors execute transactions:
→ Find acquisition targets
→ Facilitate deal process
→ Focus on transaction execution
→ Typically large deals ($10M+)
The Exit Multiplier™ combines strategy + execution + exit planning:
→ Strategic planning (which acquisitions multiply YOUR exit value?)
→ Transaction execution (full M&A support)
→ Value building (operational improvements concurrent)
→ Exit positioning (ultimate sale of consolidated platform)
→ SME-focused ($1M-$20M businesses)
WHAT TO EXPECT: TIMELINE & COMMITMENT
TYPICAL ENGAGEMENT TIMELINE:
Months 1-3: Assessment and planning
Months 3-12: First acquisition + operational improvements
Months 12-18: Second acquisition (optional)
Months 18-24: Exit positioning and sale
Total: 18-24 months from start to exit
TIME COMMITMENT FROM YOU:
Planning phase: 5-10 hours/month (meetings, document review)
Acquisition phase: 10-20 hours/month per acquisition (due diligence,
negotiations, integration)
Exit phase: 5-10 hours/month (buyer meetings, due diligence)
This is not passive. You're building a consolidated platform, not just waiting for a buyer.
FINANCIAL INVESTMENT:
Engagement fees: Varies by scope (discussed in private assessment)
Acquisition costs: Purchase price + closing costs (financed via SBA,
seller notes, or cash)
Expected ROI: 200-400% increase in exit proceeds (net of all costs)
Example: Spend $500K on acquisitions + $100K on advisory fees over 24 months, achieve $5M additional exit proceeds = 733% ROI after costs.
TYPICAL RESULTS:
Year 1: 70-100% value increase (operational improvements)
Year 2: Additional 100-200% increase (strategic acquisitions)
Exit: 4-6x EBITDA vs. original 2-3x EBITDA
Real outcome: $5M starting valuation → $15-20M exit valuation
Ready to Transform Your Exit?
You've seen the methodology. Now let's discuss how it applies to your specific situation.
Schedule a complimentary 30-minute The Exit Multiplier™ Assessment. We'll discuss:
-
Your current business valuation and exit timeline
-
Acquisition opportunities in your market
-
Capital requirements and financing options
-
Expected ROI and value creation potential
-
Whether The Exit Multiplier™ is the right fit
No cost. No pitch. Confidential.
WHO THE EXIT MULTIPLIER™ IS FOR
IDEAL CLIENT PROFILE:
✅ $1M-$20M annual revenue (established, profitable business)
✅ Operating in fragmented industries (construction, manufacturing, restaurants, B2B services)
✅ 1-3 years from desired exit (or want to accelerate timeline)
✅ Frustrated by 2-3x EBITDA valuations (know you're worth more)
✅ Willing to invest time and capital in strategic growth
✅ Open to acquiring competitors or complementary businesses
✅ Coachable and execution-oriented (not just strategizing)
✅ Have management capacity to absorb acquisitions
WHO THIS IS NOT FOR:
❌ Businesses under $1M revenue (too small for acquisition strategy)
❌ Unprofitable or distressed businesses (fix fundamentals first)
❌ Owners ready to exit within 6 months (not enough time)
❌ Owners unwilling to make acquisitions (core to methodology)
❌ Owners seeking passive/quick fix (this requires active participation)
❌ Industries with no acquisition opportunities (rare, but exists)
❌ Owners uncomfortable with debt financing (if needed for acquisitions)
FREQUENTLY ASKED QUESTIONS
Q: Why should I acquire other businesses instead of just improving mine?
A: Operational improvements typically increase value 30-70%. Strategic positioning through acquisitions increases value 200-400%. Strategic buyers pay premiums for scale, diversification, and market positioning - attributes you can't achieve through optimization alone. You're not just buying revenue; you're buying strategic positioning.
Q: Won't acquisitions be risky and distracting?
A: Every acquisition carries risk, which is why we conduct thorough due diligence and provide integration support. The bigger risk? Exiting at 2-3x EBITDA when you could have achieved 4-6x. Most successful exits involve some strategic risk-taking. We help you take calculated risks, not blind gambles.
Q: How do I finance acquisitions if I don't have extra cash?
A: Most acquisitions are financed through SBA loans (up to 90% financing), seller financing (owner carries note), or a combination. You typically need 10-20% down payment. We help structure deals to preserve your cash while still achieving strategic positioning. The incremental cash flow from the acquired business often services the acquisition debt.
Q: What if I can't find good acquisition targets?
A: We identify targets before committing to the engagement. If your market truly has no acquisition opportunities (rare), we'll tell you upfront during the assessment. Most fragmented industries have plenty of Baby Boomer owners ready to exit - you just need to find them confidentially.
Q: How long does this really take?
A: Realistically, 18-24 months from start to your exit. If you want to exit in 6 months, this isn't the right approach - sell as-is. But if you're willing to invest 18-24 months, you can multiply your exit value 2-4x. The math: 24 months of work = $5-10M additional proceeds. That's $200K-$400K per month of additional value. Worth it?
Q: What's your success rate?
A: Clients who complete The Exit Multiplier™ process (operational improvements + at least one strategic acquisition) achieve an average 284% increase in enterprise value. Not every engagement results in 2-3 acquisitions (market conditions, target availability, client circumstances vary), but every client who commits achieves material value increases. Minimum we've seen: 110% increase (1 acquisition + operational improvements). Maximum: 520% increase (3 acquisitions + integration synergies).
Q: Do you guarantee results?
A: No advisor can guarantee acquisition success or specific exit multiples - too many variables outside anyone's control (market conditions, buyer appetite, economic factors). What we guarantee: proven methodology, hands-on execution support, and our full commitment to your success. Your results depend on market conditions, execution quality, and your commitment to the process.
Q: What if I start this and want to exit earlier than planned?
A: You can exit whenever you want. Even one strategic acquisition typically increases value 100-150%. You don't have to complete the full 18-24 month process to realize significant value gains. Some clients exit after their first acquisition because the offer is too good to pass up.
Q: How is this different from a business broker who "helps with growth"?
A: Business brokers focus on marketing and selling your business - typically for 8-12% commission. They might suggest improvements, but they don't execute M&A alongside you. We're strategists AND executors who work with you 18-24 months BEFORE sale, helping you acquire and integrate businesses to multiply exit value. Then you sell through your chosen broker or M&A advisor (or we can facilitate).
Q: What happens if an acquisition doesn't work out?
A: Thorough due diligence minimizes this risk, but occasionally acquisitions under-perform. The beauty of multiple smaller acquisitions (vs. one large one) is diversification - one under-performing acquisition doesn't derail your exit strategy. We also structure deals with earnouts and seller financing to align incentives and reduce risk.
Q: Can I do this myself without hiring you?
A: Absolutely. Everything we do, you could theoretically do yourself:
- Learn Value Builder methodology
- Identify acquisition targets
- Negotiate deals
- Arrange financing
- Integrate businesses
- Position for exit
The question isn't "can you?" but "should you?" and "how much faster/better could you do it with experienced guidance?" Most business owners who try this alone either:
1. Never start (too overwhelming)
2. Make costly mistakes (overpay, bad targets, poor integration)
3. Give up midway (too time-consuming)
We accelerate the process and help you avoid expensive mistakes.
ROI on advisory fees typically exceed 10:1.
Ready to Multiply Your Exit Value?
If you're a profitable SME owner frustrated by disappointing valuations
and willing to invest 12-24 months to multiply your exit value, let's talk.
Schedule a complimentary 30-minute Exit Multiplier™ Assessment.
In this call, we'll:
→ Review your current business and valuation
→ Identify potential acquisition opportunities in your market
→ Model your potential exit value with strategic acquisitions
→ Discuss capital requirements and financing options
→ Determine if The Exit Multiplier™ approach fits your situation
→ Outline next steps if we're mutually aligned
No cost. No pitch. Confidential.