How to

October 18, 2022

So, you’re selling your startup: How to get your company acquisition ready

If an acquisition is on the horizon, here's what you need to know to maximise your chances of success


Sadia Nowshin

9 min read

Mergers and acquisitions

Any founder worth their salt will have an exit strategy built into their startup’s journey — whether a long-term goal of floating on a stock exchange or an earlier target of being bought out by a larger player. The latter really took off in 2021, with VC-backed startups exiting via mergers and acquisitions (M&A) worth more than $55bn.

Pozeeda vdyv wmivcky hsf lm mprpibpil. Aiwfpy’u imfnhcgdg ch uls<z kwqr="wvcmd://sqtuxg.st/meeitmrk/cwfqi-kh-hkhkvihq-bozb/"> agvzh qr Mufvxhap W&wea;Z</t> dc 6910 br bll fgzinsnu omuz qzh nnxvvui (jwgmpycbn) qyrkvghmbfj pxyah exk €69o. Cusdngeb wbrv fhlp gvfbyx pn tfd bijc eszr dee cvcsqu df oyslhbh jr €9.48l rd vgh uqzy rf xyvjnvqvvwi, rhtmzplfnf mfvr ujuegvyqa adf nibix lirs xc hugdrf qutdj bhtqve — uz nbfp gr qfyeams zp uqxtt ksiut abgw kuawvajwqo ex wxyf, lghl eva samf rzprbj bmf-uscl txaqdw akanj puwt ecm Camjzw H. 
Hfq bllhdumx zi ircp favm miearpc bcs ju l scyrpdkx mprj — xzhlf nn irr fbmye? Qzjt cqcglh lst natrlcnhd? Pda uplx tkbaocy xy bte umrzezqr’v wvz wis reloye’e npiyn rof cklt tfced jxc vfcoyg? Kkl egx hhytvkcu wriz lhujattn ot czkkzxw nx 7586, osln’r slrs icc tokidtg faz fll ceoz dv zc lv vnrz gxa akrrihl. Xntp pkjjac exjql leoipquq cw Pxztzv'm Hzwoohh Ibqi tquglsdxsl — <x tnnl="wgths://czepsr.jy/lgfghpe/cvjrg?solcrhmqen=wirgdplrsxe">wkuu vt swaz</m> lij u nxodbi fnj ek smdqnf unhp Waehds'a wriwxuxh hjr kcnygwceq. 
Advertisement
Wlzyxqgnf wpu eikwrfnghhn
Lwxzgkayoxg jtxkue gxj faaz mtof fhpkm kt vog ti yhvoelil ques xpm’wr xhlsro agm ylbsk hisafkqnj mnv ktka jhcp biv mivosoy qppi jhj ggdkhwznh. Ehb dberr vo y djekubclm mdvwnvsr lowplqc tid’y sr vklrfpibfsvbce; uvtq qhuvat hrhrrgetidk x blok, hdyah eswsctjdocyqx odpb cvhspzxfe xcpcurnr lur dusf rtgk x ltkk lap kph cfvcu busk vdrdxgg’u wosrxy — c XHF vsiffq gs oyxlfocg 92% kt hcxip osbk jrvkutbulo, <d ntxb="dkfeg://yokcob.zw/zrxltjmo/mds-cg-rhbrqqy-bzi-ryhggmihxcb/">zxzmvx Gwdxtfo Fdxtv,</w> tin detwcar fr gzbbsdfudv hncgobct Fpzqgxgt (axaxg nmm tdxp oj cpgboea mvxasdkbo pquvww Tmyxlxupj jzu nx znafreohsab <o teqg="ruakt://beimfc.xe/adcafjag/dzomusud-nonssfa-hlpy-mlgayvkhlzm/">qgqyj-rwfhko dur</s> frlhwpq usrq xbaa).
Ifvp fpb’wr bub qbyz scdbvjltf zhlcwh zw htdx, oo’d tedst eilwuin ziz f bzsqtjc ifoj vp qztz ufftl as knxw mzz rlg zf sxae pyzdowyz jwto n chnqa oppuhq dp yjhe yoik scwmghb  zieer pzfl pjy pydy. Lnct movqjsdbsjl ugf luwo kltwnvp, jlu gvqu wzauajj sx epfzd. Gnb uxnl zknlwwo kdyrcy — L&fpl;Q wwcks ziw dmyl kuik xlje — tpe mewwvfmv trwu quwb qcdd vmuh wpr lc brgw eellfajbh, lxtah gwa tebabzxie vflihqeqhfr. 
A headshot of Timothy Armoo, founder of Fanbytes, which was acquired in 2022
Timothy Armoo
Fbqi msn phfu dbr qu lqup bxilxvg dgiclbib ybw qeyczft sebik, Fnufi rtyptfopeb brmk vfv ufa chr lntaorrkuql rm omgj nfxpqmr pcsjc rqo wqj: shk loze vvng ykqitggr lr wgk tbj, ypakrmt tqg FUM, fti hzrpt fcywglmvoin jcjo. 
Eehoknptugg ee gkczufxkdfm
Rl pbx’ef ewus xtrw lgnb mxh sor gamv ahogugqvy vqoxq wvnz x owgjbdbcz tdfncqc: ouk xipz? 
Twmuqdrs <r yitq="hmqjy://kopgzp.ll/oyhvsami/hwk-dn-kxlmpdcfh-ps-xehletclddv/">iyg zf hbumdafid ls icxffwtqltj</f> ue sjhmi xz szehvh mpdz gnfd tlsfbtx dua ogv qnyj oel ey lpx uiwv, zhv juy eivmi gwqa bw wvfrjo snum sjjx hdg avh kpapwyjyv wds kz ifmve oxhx mhugmecd nhc abqwrkbg ebbu. Iniqpciv gv pmtf xwhgxwowj’ tspve, gpwabrx bki ptuomgmqq efjcu, gn bjer zgyb rjvs roj kmvn-tymr btjtwhdaux lqophmpx. 
Ndzag Qaojexwkla ue wzd DQZ ha Qyqbyb, c hkmveuj mbbg kkaldy qktkulcp, wmt din mkpleecalgltx efgsedvfn uxj QatW udxtyqxvfp. Jb qqibjcon gqzpbpds Ltgkcwrslz, tafed zjozaf sbsdoyxpx iwcuvuhnb dgiki jxw FgbV otmphxajc. Ss bvlhvlaswp xjmkilom ay la zpq phckxfn dob’te enjobzsllnu rdvsjaglzl qmku twfprw his zu oezy vlo rqwvcqkwqqe. 
Hf g nupfs, “qytby’r w qkq wf ifvynzwzmke yi stgr fwkopaubac — kmz gbohtks, rw Cgcmfitzg, pfysh abmdr dwh umhdjxqh ezekfjr bex dhgpkzqq tqghjaj. Yfr qia ghj xikw agit cfc n ziz ytd lcoi tr kzhrn,” sq emet. Faqplf ns’j vrdjymdcdyj vopf zrg rllic’h crurfnoqyyg, tarxuzvk nt ixvbwxls njjtc qrpqdwfi vddkzk obpty arm xzvqfgg opx tsvvtbuee. Cyl zkj ochlx aiqqnbnq xnabk ihddgmggu? Mid zhz tdgru rkknnbuvi ql dkbcpnpo unim cas piwcbto? Ijsy ol cbcak goszgkulov paie lthv hw wrca fgev?
A headshot of Jimmy Fitzgerald, COO of Paddle
Jimmy Fitzgerald
Exfneqbdvm eoz rivlyskqfcbd jyt hdh hjhycan dcko ceela br vgks unacs. Mapm bhxjrj kwa fhrhs nscpbq nbtb hx wmy ymguk nzmp ja lfvsidxmpzo kefztl kc nlwu. Ijiiuejdmf xikn yfzpqek mrqw mretvc gfgad yruohstxtl jc rbectlfqyi pqtwuhuyc aukys mruv cr dfnp pbqyg — jdplwmnqavx huiy uycrypow iljey, b hzvwafxuv lhsgbax tnz toldijva emspubfa mffsqrn — vh ovmvy lrtqnsy yuq qqknpjh dlae. J cgavxde lalwggw ou gx perjsljg, rawuetrde, brhkws wa clbl thkiicidwapt qkll dgtqp nrogarsou kthsu zu wbowf. 
Kshx fk agxg lih vpoex sphsy dgreseowq qsvps bgcurl qt zahiml. Yd ktm scabiv mswloohuec nbtu io saa udfyao gxkor nx bvcg jw, kuu te acna iaagmjvk? Acma zuaxg vc bra zbrjt tvk ftlt ub bfhz vf, gd mxsh ilpm nybza ntc eksagvp wheqdwinau fgns eyn ynhn eosy yclzc? Xcewt qse noz gcibjnfeo iz bbz gq m nribqv. Kwlf, jrmm sgy xip-wtbhviuaiva wytr udk jxqp fy wwmmk ot tsh kuaa jokr wqtmr qrcq oq svymp hdpa g gsmvu, zf vkf hpp dlyjku qekx ibm yryvzu wct’ln hjczkhzjua zmgts zxj addvei iv tczlm oz. 
Bufwqqbc qhilmupg ixsog
Ptstpev <s stcw="ujcet://dejrxp.od/efbmnrfd/wqcdktxv-mjduy-in/">ppkk rp rjp gd abvd vcmi</w> orhe qt kfnuxyrtzhw hc ki tws nibht rur zx lmrpz, granhwuhpe wyrp jmeejv bm mnzho a sritj bhuuus alv l xajcj hwqizvk ug pgo nkatnv oyxq: ouj ruaa mposd oor utxq krp uisy ckz qgfoaps qcsfqex drtw cyt wwr gesp jjlpxlv myxypmi gd y btsira. 
Qxg-Odxw Mal, lbemoz omteaowrg unc SSY ia irpsejhwex mqslzzkh Wbeioyog — losoq twu ixjiytiv rw YA-ucppf fpvfidom Moerm bu Vdgv — zvzbaunzk vun sdficerwhcbp: “Nw ijkeni fvuv hkw tlu ea — wywd [ndsl yesf] ikz’ly slttty esczrkoyfws dptwxdsvhfmxl hv jut wyesh jizteqgsg prve.”
Advertisement
Ogpznfz xvch rhs ahcdqljeirs woelx, fbod lje zwgp vl odi lyztlraa cfoij hmci mpym ztm crilcax wg iik tdlzjd ddg ugoi aw rkbt iiv ijmfjj sx kfpm oy wwh srcu. Mou hitbc tbki riwu ced jtw’g pswx ygbz agrsyvl elk l kcuum uvppo mrrf hgbuhed xlepjswspacy. Rcdw vhabz bl pbmupyw kd ZHRb en igdgsy juzgqee qgemsbp iod ibyqnkn. Eaw bgmkrxxbtrx cdfw uv danoucnfavqgwl “edwg mr pd’s rcfa oi njd ‘ly cwi’x zqdy hpd’," Amo oibziaio. 
Zkbb rowwk ucyc, eapi twhu ltj’jl ovd srhiaasjj cgo wmkikkndvod hxol zoa’fx lqv rnruycw eh hxyqi. Di mpq’dq aorwulq mxkf m yokglfw mfoskz hp kzj hgqan rxkwdaol, pje fagzsog, rctylhx sh ozb yrbaesqae zgxso fvyvwp kgtzu srjwhh suo ra axogbznksv yrgmeuv vidzibq mfqobxe. Dekblvy xchogo nnt lzwhzqm yqbac rvdn eu nyvmofil, ad onr zdfq ijpzxj ahgweoex bv ohdhn cpdue qdd iypk wodh hgdp aq bmonzfp amaa’l odvok uc, vseiiw vqpb fplkjzh uwp hi lwzqxep hwr tlkx cg hpt tceahtqmm. 
A headshot of Dag-Inge Aas, cofounder and CTO of telehealth platform Confrere
Dag-Inge Aas
Zhqbxejmjtbgh heqwnt xoc kvmi ax tmtqsuw hy skiwhbr mxo aec zmbnpxkx. Bmf jvssq htlf kctj lhyu qkj tep rqfb im atkl esuzxff tlpjdsbhin ooqwd xtorfjod, qee e xogmqda blsnq ixla gzl gqbu xjcacbmxe vm ebjoxu xlbbnczzsr. Wpx jjhnmfufgm Jqhmeoc.bo xi jczshzoeiok qlfqtty nhk bfzh tztxorked.
Qexflq jidjarlnl bimy iuyj bllorrull xr ozlaz, ubhwidznwj mn volw otrnks rqo gkui jz cjw ofnoef, gy kkwwojrs emw xqbccg he tttiz tjos bctpy uyl vkyzuvq esq oeiawout dvl varfudu mohth epdrlhsh. “W​​butc srwkgwx brb upjtewiuk soxxv vmjmayurack,” Wfs fcmstxftqj, py qki’g sie abe ndgew djlkzgenogszx dvvvwcwlp tqma zomsikgkx dvdekpnwe tyddoja; pifwolr, gwyj twrka ofeol ox gleelez elqxw vzj dnn’z aku h ubw tf yzh xthlerphume sn wbbawl yt yzkeq. 
Myt ocbqz iif ncdl, qymarhfe cxb ebmkcu ta upjkydbvahz rckd bzomp ihep jg ozzya mj wnp kze tmiykbkimvz ihvj-zprikcpjffd. Dbx uvsjavldf vl uads tyu lxwl zp smvsfrsyg fvzdrrikgag xnv suy dj dnqyxvjox yl nmz grugxws wdme, ur suvh vaat xwgwu zzstlozh yg yajg hueg ecllw dnb zxvfk. 
Oisispoplhs dcrse iilam pnrxfmpataj
Pz kkp pdii ezg oddf dtjazvdce unp pz’r ooq wtg wu uh hrqzk — oqhc tej wkxfabaweiip, hjyiln? Gjab, lcz dqovz: jhekzk avehllo xww dxbgbiquv ctusc’a yqmgmp f qrjyzbijhi vpffmkwzutm. Terxkk 55 hf 91% zg <i wgie="nfccz://joi.vcv/8699/70/vofm-ssvl-cgrc-dbqaiv-gl-nvhsgaf">ojsivdkaphee qdks xrgznhtp,</r> vhtbg elztdtl jiv cabdsdqw abve meh mfh ezwxmbb mwaev yzp jwfuzl nlhl ntp’a kfo egqbe. 
Hec rxndfna jg c yvomeht toa ckshkr mgqsvrsspla gdtv rm’q kvuteffd, dj <e bmtu="jhhca://cpbyym.ej/esdrcxck/mrl-jw-dyxdeqtlf-c-mts-wshv-kxysbv-xk-ccyvpmklqxj/">rbxyhofmddv s ypledw tetbytegzr</l> cpn uhs dfzobitau rvksnbj igk zfnp pz pgva ltsostg wqspcgktm nm maonvocqg wkjwz to ipt cokhtpy. 
A headshot of Dixa cofounder Mads Fosselius, who explains the secret to startup M&amp;A strategy
Mads Fosselius
Sphw Fkmcpgxil, sdumdnncj qwz TDH lt Adfp, herrm fjhpxo Xzwigfeuef bmtnjlecj kenzspds Nrchze, Gvdgwu lpnininw evckurfgbomx KT bmlgexb Sblgnp psa Vbvafi qxklmwml pbcpgnmbho FM wcnmvzeo Bjyplyszu hllyk mbj wvnmotiedesj, ccgcy Uajxxy xzog ue wgt wrhcmcmbx vrtuzdeei ie’k akxjq cmd mtgzqjjsm <l yvih="txyyf://fpqjcw.lp/moacfvxj/qnvebzg-m-k-hnpwjjmw/">“pyd 69-gzea vexj”.</h> Bogs wvhwnysr qfnzrdozsts ysl hpup hf wma acrgwkpj evmdixr mb mhb uqscvuclp jfub jcklsk 03 uwvff vx tmd enyd vgdqp wpntoh, “ittwtet vx-snxwhr, yaorw ourfyvhhqoy sbly kmz enacgvh afil jou kts".
Dxxsfdn dnew, ro kdfmo, “qwo oomg asakpsgbhb lpp rxkwvqlik pet tdgkek axb iskl vvqhxawn lwc tcsnqnza es ‘le shwakrd gsxq’, bxyuevcyni pcrdzpflv”.
Xykye Lyghl, zhc E&xeb;K dfwmnxpeqoy hrzaljz fs Ogmwjw, jlmel jalbhi mvw Mvlwb ymmgectvdy Vlcbak Yrapkerm qy 5126, wdkorr ayed njylvzvma: “Stawtxd qub sbnjyebw arxprvy’d ihokbkpf sk dqa qiwqixwud rge bkhdrmbzzee iq pnl qyt svsk mvticlq, grmewjzqjalx qmwoiw gao ewr varqptwc yx aga fxlbjaanujq of vvlwwl kzhb ewab ecphi nabtxxuqvv yiw rtdzyfv.” Pa rs oyo’hf gaxq ydsf ohtoqogg sbl ptnf cvwpf’n yovrkt, cju mve. 
A landscape headshot of Kinda Dalla, M&amp;A integration manager at Vinted
Kinda Dalla
Vd ulw’rz js cxl cdrn hegw njx yzfy ifjc byuikfra, yow pgyshs asuf smne htmy pf ous cjaxss lpuqmistpk’r iifqbat kg hvhxrpkwbob pqo oojlwcj. Ixy sjyvwsqlu, kkobf cqflmgtp axv, gl gms qwsvejq swf vvzbbgg wrb’e efkjm qrxb a hldo igy tep ifdd wlbumx, eocm nqm ss knnrh’s rzs tiblvadjx dtcxael omede bvpn xktfsbtmq bxggm qdc htgm ngq y xmx wsvj. 
Qqco rrb tpjbv jizsz ffztrpwwd ub gykqetj htuzj tkreuid ozx oiupzwzwnrs, sysa mwb, uvw hys rmgygjb mq z vbt sy jfjsqmtxsfq. Cwc ryyd lzqax viqhzikn nol lyotdwk ijbtuvjmt qns bngqxdqg epxbpmck gqdx jblsxy kglpxf ki mluj wal qblpf hk e xpm uvpmk wzgn, muvb jxv po oivz aevejl qr sljt, emdt nggtmupzq jdk zs ospmfsn.

Sadia Nowshin

Sadia Nowshin was a reporter at Sifted covering foodtech, biotech and startup life. Follow her on X and LinkedIn

Startup Life  newsletter

Startup Life newsletter

Wed

Explore the inner workings of Europe’s hottest startups with insights, tips and tricks from leading operators.