How a Pune Business Owner Prepared His Company for a High-Value Exit

A 58-year-old business owner from Pune had built a respected material handling and warehouse automation company over the past 20 years. With a manufacturing unit in Chakan MIDC and an annual turnover of ₹70–80 crore, his business had become a trusted name in the industry. Yet, like many founders exploring how to sell a business, he faced a serious challenge — he had no second line of management, and his children were not willing to take over the company. He knew he had to plan his business exit, but he didn’t know where to begin.

Searching for answers, he spoke to his CA and peers, but the advice was inconsistent. Some suggested listing the business for sale immediately, while others warned him about valuation risks. Soon, business brokers began approaching him with high commissions and hardly any understanding of business valuation or the M&A process. Confused and under pressure, he realized he needed professional clarity before deciding how to sell his business.

Through a referral from his CA, he reached out to us. During our initial meetings, we understood his concerns, exit goals, and the legacy he wanted to protect. We collected his company’s documents, five-year financials, customer data, operational details, and manufacturing insights. We asked structured questions covering customer concentration, contracts, readiness for due diligence, market competitiveness, and operational scalability. For the first time, he began to see how a buyer or investor would actually evaluate his business.

Over the next two days, we conducted a deep study of his industry, global competitors, automation trends, and the financial reality of the company. The evaluation revealed several critical issues that would significantly impact his business valuation if he listed it for sale in the current state. His EBITDA was understated due to tax adjustments. Nearly 46% of revenue came from two major customers, indicating high dependency. Compliance and documentation were incomplete — a major due-diligence risk. And manufacturing inefficiencies raised concerns about scalability. These findings helped him clearly understand what he needed to fix before selling his business.

We then created a detailed 18-month readiness and value-improvement roadmap. With consistent monitoring and guidance, the business saw major improvements. EBITDA increased by 13%. The company shifted from project-based work to catalog-based products, improving margins and repeatability. With our support, he expanded into international markets — Europe, the Middle East, Africa, and Australia — reducing customer concentration risk. We also connected him with an innovative mechatronics startup, enabling his material handling systems to become IoT-ready, increasing attractiveness to strategic buyers.

Once the company was ready, we introduced him to a strategic buyer from Chennai specializing in automation, IoT, and industrial solutions — a perfect fit. With improved financial transparency, stronger systems, updated documentation, global customers, and enhanced technology, the business became significantly more valuable.

The final outcome exceeded every expectation. He received a valuation higher than he ever believed possible. From worrying about succession and searching for how to sell his business, he moved to a position of clarity, confidence, and negotiation strength. His business became buyer-ready, valuation-strong, and aligned with strategic synergies — resulting in a successful and rewarding exit.

This story is a powerful example of why preparing your business for sale is essential. When you address readiness, valuation drivers, risks, and documentation before listing your business for sale, you don’t just sell — you sell at the value your business truly deserves.

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