Every buyer wants to see that the founder is redundant, but I still hold multiple seats on our Accountability Chart. How do we transition these final operational responsibilities without disrupting our day-to-day delivery?

Question

Tyler Smith · Accepted Answer

To command a premium multiple, you must systematically eliminate yourself from the daily flow of your company. This starts with a brutal and honest look at your current Accountability Chart. If your name is written in multiple seats, you have a major valuation risk that buyers will immediately discount.

Begin your transition by identifying which of your current seats can be delegated first. For each seat, write down the exact roles and responsibilities. Then, look at your existing leadership team or prospective external hires to find individuals who truly GWC™ those seats. They must want the seat, understand the responsibilities, and have the mental and physical capacity to execute the role at a high level.

Do not try to transition all of your seats at once. Hand them over one by one over your exit runway. When you hand over a seat, use your Level 10 Meeting™ and Scorecard to monitor their performance without stepping back in to micromanage. Let your team solve their own issues using IDS®. When a buyer sees that your leadership team manages operations, handles sales, and drives strategy without your constant intervention, they see a highly valuable, low risk business. This transition gives you the freedom to step back, while proving to a buyer that your company is a turn key asset.