Robert J. Chalfin 
Selling Your IT Business 
Valuation, Finding the Right Buyer, and Negotiating the Deal

‘For close to twenty years I have observed Mr. Chalfin helpingowners, business advisors, and students get a grip on the slipperyissues of selling a business. This book is a valuable distillationof his expertise. ‘
–Ian Mac Millan, Dhirubhai Ambani Professor of Innovation and Entrepreneurship The Wharton School, University of Pennsylvania

‘Bob provided us with valuable outside perspective while weprepared our business for sale and during the sale process. Hisbook is an excellent guideline for business owners thinking aboutselling their company.’
–Steve Gerlicher, Entrepreneur

‘Bob Chalfin’s experience and intellect make this book essentialreading for IT business owners. Provides thoughtful analysis andpractical advice invaluable to anybody who is even consideringselling their business.’
–Louis W. Fryman, Esq. Chairman Emeritus Fox Rothschild LLP

‘Bob Chalfin brings unparalleled experience to developing andexecuting these transactions. His insights are tempered by years offormulating these deals and then describing the methods to hundredsof students at The Wharton School.’
–Stephen M. Sammut Senior Fellow, Wharton Entrepreneurial Programs Managing Director, Burrill International

‘This book covers all the bases for someone selling an IT (orreally any) business. The observations on buyer motivations areparticularly insightful.’
–Mark Goodwin Executive Vice President and Chief Operating Officer Pioneer Investments

Table of Content

Acknowledgments.

Preface.

Chapter 1: What Buyers Are Looking For.

Chapter 2: Why Sell?.

Chapter 3: Types of Buyers.

Chapter 4: The Selling Memorandum.

Chapter 5: Attracting and Retaining Key People.

Chapter 6: Financial Metrics.

Chapter 7: Your Board.

Chapter 8: Marketing Your Business for Sale.

Chapter 9: Valuing Your Business: An Introduction.

Chapter 10: Valuation: Book Value of the Stock and Financial Condition of the Business.

Chapter 11: The Company’s Earnings Capacity: Profit and Loss Statement; Dividend Paying Capacity, The Size of the Block of Stock to Be Valued, The Market Price of Similar Stocks.

Chapter 12: Methods of Determining a Business’s Value.

Chapter 13: Confidentiality: An Introduction.

Chapter 14: Confidentiality: Limiting Data Dissemination and Preparing Confidentiality Agreements.

Chapter 15: Letter of Intent.

Chapter 16: Due Diligence.

Chapter 17′ Forms of Acquisition, Contract of Sale, Utilization of Attorneys and Certified Public Accountants.

Chapter 18: After the Sale.

Appendix Online Resources.

Index.

About the author

Robert J. Chalfin, CPA, Esq., is a longtime Lecturer in Management at The Wharton School of the University of Pennsylvania, an Attorney, certified public accountant, and President of The Chalfin Group, Inc., which provides strategic planning and advisory services in connection with the purchase and sale of entrepreneurial businesses, many in the IT industry. He has served IT businesses in a variety of capacities including corporate board member, consultant, and investor. He is a frequent speaker at industry forums and conferences.