The Built to Sell book, by John Warrillow, tackles a question many owners avoid until it is too late: if you wanted to sell your business next year, would anyone want to buy it? The answers have value whether or not you plan to sell soon.
What the Built to Sell book is about
Published in 2010, the book is written as a business story rather than a traditional manual. It follows an owner who learns how to turn a service business into something that can run without him, and in the process becomes more valuable to a buyer.
The core argument is that buyers pay more for businesses that are not dependent on their founder.
Key ideas from the Built to Sell book
Several themes run through the story, and each one is useful even for owners who never plan to sell.
- Focus on a narrow, clearly defined offer rather than doing everything for everyone
- Turn custom work into a repeatable, productized service
- Build recurring revenue where possible
- Document how the business delivers its work
- Reduce your own role in daily delivery and sales
Why owner dependence lowers value
If customers only trust you, and only you know how the work gets done, a buyer is mostly purchasing a job. Reducing that dependence makes the earnings easier to transfer, which in turn can support a stronger price and a smoother sale.
The same ideas help owners who simply want more freedom and fewer emergencies.
How to apply the Built to Sell book this year
Pick one idea and test it. You might define a standard package for your most common service, write down the steps your team follows, or introduce a monthly plan for repeat customers. Small experiments reveal what works without risking the whole business.
Pair these steps with the valuation and due diligence guidance in our articles on buying and selling businesses.
Limits and cautions
No book can promise a particular sale price. Industries differ, and not every business can be productized or sold on subscription. Treat the Built to Sell book as a source of ideas and questions, then check them against your own market and advisors.
Who should read the Built to Sell book
It suits service business owners, consultants, agency founders, and anyone who suspects that their company depends too heavily on them. Read it with a notebook, and list three changes you can make in the next ninety days.
More reading inspired by the Built to Sell book
- How to Value a Business Before You Buy: Multiples and Seller’s Discretionary Earnings
- Working With a Business Broker: How to Find One and What It Costs
- How to Buy an Existing Business: A Due Diligence Guide
- SCORE free business mentoring
- Books for Business Buyers: A Practical Reading List
- Emotional Intelligence Books for Business Owners to Read
Further reading: MyMoney.gov.
Keep reading
If this topic is useful to you, these related guides on SmartBizOpps are a good next step.
