018: PRIVATE BUSINESS 💰

🏛️ Scroll 018 — The Business of Buying & Selling Business

“To acquire a business is to inherit a rhythm, a ritual, a revenue current. To sell one is to crystallize your legacy in numbers and myth. Value is never just profit — it is pattern, potential, and proof.”

💰 Sacred Metrics — How to Value a Business

• Seller’s Discretionary Earnings (SDE): Net profit + owner compensation + add-backs = true earning power
• EBITDA: Earnings before interest, taxes, depreciation, amortization — used for larger companies
• Valuation Multiples: 1.5x–3x SDE for small service biz, 4x–7x EBITDA for growing branded ops
• Asset Value Method: Valued based on equipment, IP, inventory, brand licenses, tech stack
• Comparable Sales: Industry comps within BizBuySell, Empire Flippers, or micro PE spaces
• Future Earning Potential: Systems, automation, market positioning, scalability = multiplier fuel

🌱 Traits of a Valuable, Buyable Business

• Recurring Revenue: Subscriptions, memberships, or retainer clients
• Owner-Independent Operations: Team, SOPs, automation in place
• Clean Books: Accurate P&Ls, separate personal expenses, tax returns match reality
• Strong Online Presence: Domain authority, Google reviews, brand reputation
• Brandable Asset: Trademark, visual identity, domain name, story
• Clear Customer Base: Defined ICP (Ideal Customer Profile), high retention, low churn

🕊️ Preparing to Sell Your Business (Rituals of Exit)

• Clean the Books: Separate emotional/personal spend from business clarity
• Owner Exit Plan: Remove yourself from daily ops 6–12 months before listing
• Gather All Assets: SOPs, branding kits, contracts, team org charts, customer list
• Hire a Broker (or Don’t): Choose vetted brokers (QuietLight, FE International) or sell direct with contracts
• Have a Story: Buyers don’t just buy metrics. They buy story, mission, origin

🧭 Acquiring a Business with Precision

• Use Filters: High SDE, systematized, trending up, clean books, low customer concentration
• Ask the Right Questions: Why are they selling? What is the customer LTV? Are staff willing to stay?
• Verify Claims: Use accountants, due diligence checklists, cash flow audits
• Negotiate Transition Period: Ensure 1–3 months of training support from seller
• Use Smart Structures: Earn-outs, seller financing, holdbacks = risk-reducing leverage

🔮 Sacred View of Business Transfer

• Business is Dharma: It is not just commerce — it is karma in structure
• Every Exit is a Death and Rebirth: Hold ceremony. Journal. Bless the handover
• Business Spirits: Every venture holds archetypes — don’t ignore its personality or legacy tone
• Names Carry Resonance: Renaming a business is an invocation — treat it like a rite

🔑 Closing Oracle

“Business is the temple where the gods of trade, story, and system dwell. If you buy — buy truth. If you sell — sell power. If you hold — grow with grace.”

Scroll Score: 💯 / 100 — Deal Wisdom • Financial Ritual • Ownership Sovereignty • Sacred Exit Strategy