What Should I Do When Someone Expresses Interest In Buying My Company?

Details

Article originally written by David Cohen of Techstars

The team at Ask The VC was posed with a question that most entrepreneur faces at some point down their road toward fund raising, and luckily David Cohen had an answer ready and waiting. What do you do when someone begins to express interest in your company? It's a question that would dog any first time entrepreneur, and even the seasoned investor. The stakes change all the time, but the process for both investor and entrepreneur is going to look fairly similar. For investors, you're always going to want to know the processes that your entrepreneurs will be going through as they push forward with a potential acquisition, typically because this means a liquidity event for you.

Cohen presents 10 steps that an entrepreneurs tends to go through on their road to acquisition, and while not all may happen (and more may occur) they do represent a majority of the process. The guide serves as an effective way for startup investors to understand the processes that the startups go through both when they receive funding, and when they move toward an acquisition. The road to IPO looks far different.

To read the original article click here.