We have written about ‘timing the market’ a few times since we started publishing our weekly Deal Notes®, more than 200 issues ago. Given the high level of M&A activity in the aerospace and defense industry at the moment, we are receiving a lot of inquiries from potential sellers asking us if now is the right time to consider selling. The answer is: it depends more on you than on the market.
While the overall economy is relatively stable today, and the aerospace and defense industry is healthy, neither of those issues should be the ultimate driver of whether now is the right time for you to sell your company. Assuming you are a founder/owner who has built your middle-market aerospace and defense company over many years, the best way to answer your question about timing is to ask yourself four personal questions:
- Do you enjoy running your company?
- Does the market value your company as much as you do?
- Do you have children who could successfully run the business someday?
- Is there something else you would prefer to spend your time on in the future?
By answering these four questions for yourself, you can start to answer the bigger question on your own: is now the right time for you to consider selling your company.
I hope this is helpful.
Cheers,
William Alderman
Founding Partner
