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Throughout a company’s life cycle, there are usually signs or factors that shareholders should pay close attention to and consider when evaluating this corporate strategy. These signs or factors are not static—they vary in intensity over time. Some of them include:

• Family succession
• Industry trends (competitiveness, growth, consolidation, etc.)
• Economic, political, and social environment
• Strength and competitive position of the business (profitability / liquidity)
• Interest expressed by third parties (competitors / industry players)
• Window of opportunity to capitalize on a transaction under attractive terms

Another key element to consider is the time it takes to complete this type of process. Based on our experience, we have observed that such processes typically take between 9 and 18 months—assuming there are no constraints of any kind.

We recommend evaluating each of the factors mentioned in order to determine whether this is the right time to capitalize on and maximize the value of this asset. If the outcome of the evaluation suggests that it is not yet the right time to sell the business, it is important to monitor the situation periodically.