Since late 2022, the rules of business have shifted.
Quietly. And completely.
Most business owners haven’t noticed (the shoes on the left).
But buyers have (the shoes on the right).
The standard for what makes a business attractive, scalable, and valuable has moved. If you’re thinking of selling your company – now or in a few years – please do read on.
There’s a technology gap. And who closes it, defines who captures the value.
Either you close that gap before you sell. Or the buyer will — and they’ll keep the upside.
What is the ‘Technology Gap’?
The tech gap is the distance between how your business runs today and what a modern, systemised, tech-enabled business should look like.
You’ll see it in ways that feel normal:
- You route most decisions
- Admin tasks are done manually
- Customer info lives in inboxes not a CRM
- There are no written operating procedures
- The business stalls when someone’s on holiday
- Knowledge exists in people’s heads, not documents
To you, these are quirks. To buyers, they’re red flags.
They show the business isn’t resilient. Or scalable. Or ready.
What Buyers Expect Now
According to McKinsey, 70% of successful acquirers see automation and data integration as key to post-deal value creation.
Buyers want more than profit margins. They expect:
- AI tools powering sales, support and fulfilment
- CRM systems with each customer’s value
- SOPs that show repeatable workflows
- Clear delegation across the business
- Automated admin tasks
The more you’ve already built, the higher the valuation. A 2022 article in Harvard Business Review found that firms with systemised knowledge and documented operations attracted valuations up to 25% higher than similar peers without them. Buyers are willing to pay more when they know the business won’t fall apart during the handover.
What Happens If You Don’t Prepare
Buyers today run AI analysis tools. They hire digital due diligence firms. They spot gaps fast.
They don’t complain. They don’t explain. They just lower the offer.
And you lose.
Research from the Exit Planning Institute shows that companies without documented processes or automation often suffer a 20–30% discount on valuation due to perceived transfer risk. If all the know-how is in your head, buyers don’t pay full price. They hedge with lower offers or more aggressive earn-outs.
Two Businesses. Two Outcomes.
Business A:
- No automation
- No documentation
- Admin eats 20 hours per week
- Everything flows through the founder
Result: High risk, low scalability. Valuation: Discounted. Maybe 3–4x EBITDA.
Business B:
- CRM tracks your customers’ journeys
- Team works without the founder
- Admin cut by 60% with AI
- SOPs in place
A Boston Consulting Group study found that digitally mature businesses enjoyed a 22% value premium over laggards across a recent three-year period. Business B doesn’t just run better—it’s worth more.
Result: Low risk, scalable, attractive. Valuation: Premium. Likely 5–6x EBITDA or more.
What You Can Do Now
This isn’t an overnight fix. But each step increases value.
Here’s a quick self-check.
Digital Exit Readiness Checklist
A McKinsey report from 2023 noted that 70% of post-deal synergies are tied to operations and technology. The more of this groundwork you lay before a sale, the less a buyer will discount for cleanup.
- Is admin under control?
- Are manual tasks automated?
- Do we have up-to-date SOPs?
- Is customer data centralised in a CRM?
- Are AI tools improving delivery or workflows?
- Can key processes run without tribal knowledge?
- Could we operate for 30 days without the founder?
If you’re answering “no” to most, your gap is wider than it should be.
And every month you delay fixing it, you give that value away.
Final Thought
Selling a business isn’t just about profits. It’s about transferability.
There will come a time to transition the ownership of your business. It’s inevitable.
If your business relies on you to function, you don’t own a business. You own a job.
Acquirers in today’s market now routinely evaluate a company’s digital maturity as a proxy for long-term resilience. A 2024 EY-Parthenon report confirmed that acquisition targets with AI integration and automated admin functions were seen as ‘plug-and-play’ assets, commanding faster closes and stronger offers.
Buyers don’t pay a premium for jobs. They pay for systems. Teams. Assets.
Close the gap. Claim the value.
Make sure it’s you — not the buyer — who wins.