Assess exit readiness
Buyers pay full value for businesses that are ready to sell. Everything else gets a discount — sometimes 30-50%. The Exit Readiness Score tells you exactly where you stand and which gaps to close first.
What this step covers
- Score 12 dimensions: financial cleanliness, customer concentration, owner dependency, governance, growth, and more.
- Get a prioritised gap list — the three things to fix that move valuation most.
- A realistic 6-12 month plan to get to a sell-ready posture.
The detail
The 12 dimensions of exit readiness
- Financial cleanliness — audited accounts, clean P&L, no personal expenses in the books.
- Customer concentration — top 5 < 50% of revenue.
- Owner dependency — business runs without you for 4+ weeks.
- Revenue predictability — recurring or contracted revenue %.
- Growth trajectory — last 3 years showing growth or stability.
- Margin quality — gross margin trend, EBITDA stability.
- Operational systems — documented processes, not in the owner's head.
- People — management team capable of running the business.
- Legal — clean cap table, contracts in writing, IP owned by the company.
- Tax — full compliance, no surprises.
- Premises — secured leases or owned property.
- Strategic angle — clear narrative on growth opportunities for the new owner.
Quick wins that move valuation 10–20%
- Replace yourself in one operational role — hire or promote a manager.
- Sign or extend the lease — buyers hate month-to-month tenancy.
- Get 12 months of clean management accounts produced monthly.
- Migrate from cash / mobile money receipts to a POS / card system.
- Reduce top customer concentration — even one new customer at 10% revenue helps.
Closing the biggest gaps usually takes 6–18 months. Starting prep 2 years before you actually want to sell typically adds 30–60% to the realised price.
Frequently asked
Can I sell a business that depends on me?+
Yes, but at a discount and usually with a long earn-out / consulting period. Buyers know they're paying for a job, not a business.
Should I do the readiness assessment myself?+
Self-assessment is a great starting point. An independent advisor finds the gaps you've stopped seeing because you're inside the business.
The information in this guide is provided for general guidance only and is subject to change. Fees, timelines, and regulatory requirements in Kenya are updated regularly. Before acting, please confirm details with the relevant authority (KRA, eCitizen, BRS, county government, or other regulator) or speak with a qualified MyBiashara advisor. MyBiashara is not liable for decisions made solely on the basis of this content.
