Each of the seven sections in the book have 25 yes/no questions and 8-10 strategy questions. Here's a sample of the yes/no question, from the first section, "What's it worth." This section explores that creates value.
  1. Are you consistently profitable (and it’s even better if profits are growing)?

Y

N

  1. Can you take a vacation of two weeks or more without a major disruption?

Y

N

  1. Is the owner insignificant to bringing in new business?

Y

N

  1. Can the owner spend more time working “on” vs. “in” the business?

Y

N

  1. Does the company have profits equal to or greater than the industry average after fair market value owner compensation?

Y

N

  1. Are your projections realistic (based on your history of making projections)?

Y

N

  1. Does your business have the growth potential so you don’t just “own a job?”

Y

N

  1. Have you or can you identify your logical buyer (for the company)?

Y

N

  1. Are you good at building long-term relationships?

Y

N

  1. Is the company goodwill greater than personal goodwill (the company is NOT you)?

Y

N

Following are strategy questions from the section, "Internal non-financial factors." The accompanying audio discusses the questions in detail, which are most important, why and the desired answers (for both the yes/no and strategy questions).

 

Describe your relationship with your customers. Give an example of when you really came through for a customer.

 

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Have any major customers left in the previous 3-5 years, explain why any left or why they all stay?

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Explain your relationship with your employees and you think they would describe their relationship with you. Use examples.

 

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Describe the written policies and procedures your company has?

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Explain how you groom people for management and responsibility.

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Give a quick synopsis of your organization. Who is in charge of the main areas such as finance, marketing, sales, production, administration, etc. (the same name may appear more than once). What are the strengths and weaknesses or these people?

 

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What type of customer “drives you crazy” and how do you avoid this situation?

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