M&A Readiness
Sell-Ready in 18 Months: The Operator’s Checklist
Multiples don’t rise with luck—they rise with discipline. Here’s the operator-first plan to increase valuation before you ever talk to a banker.
Why 18 Months?
Private equity wants pattern reliability, not one-time CAT luck. Eighteen months is enough to prove a repeatable cadence: clean financials, accountable sales, standardized ops, leadership depth, and timely cash conversion.
Five Moves That Move the Multiple
- Convert to accrual with a 10‑day monthly close. Your QofE should confirm—not rewrite—your numbers.
- Stand up CRM with weekly pipeline reviews. Track stages, velocity, and win rates by rep and vertical.
- Standardize claims packets. Photos, T&M logs, signatures, and change orders—same structure every project.
- Build a second leadership layer. Reduce key‑man risk by elevating PMs and BDMs with clear succession.
- Roll out dashboards. Revenue, gross margin, AR/AP, DSO, project duration, and pipeline conversion.
Expected Outcome
With disciplined execution, most founders see multiple expansion (e.g., 6.0x → 7.5x) without changing the core business—just by making performance provable.