Ready to Retire from Your and sell Manufacturing Business?

Are you a manufacturing business owner in your mid-50s to 70s wondering what the next stage of life looks like? Maybe the idea of slowing down sounds appealing, but the thought of selling your manufacturing business feels overwhelming or even a little scary. You’re not alone—many owners in the manufacturing sector reach this point and aren’t sure where to begin.

The good news? A strong manufacturing business exit strategy can help you confidently prepare your business, maximise its value, and step into retirement on your terms. Gartly advisory specialiser as manufacturing accountants and can assist you.

Who Are You—And When Do You Want to Retire?

Before you get into the details of preparing a manufacturing business for sale, take a step back and think about you. What does life look like when you’re no longer running the show?

Do you want to:

• Fully retire and walk away cleanly?
• Stay involved part-time?
• Mentor the next generation?

Understanding your goals makes every decision easier. Many owners underestimate the emotional side of retirement—your identity has been tied to the business for decades. That transition deserves careful thought and planning. if your in your sixties its time to consider your future. Dont leave it to others to salvage a business sale as you dept this world . I encourage you to start now!

Your ideal retirement timeline also shapes your strategy. Health, energy levels, and family commitments all play a role. If time is not on your side, an earlier, faster sale might make sense—even if it means a lower valuation.

Over 60 and Not Sure Where to Start? You’re Not Alone.

If you’re in your early sixties or older, the idea of selling may feel like a mountain. The industry is changing quickly, and knowing where to begin is often the biggest challenge. Start by assessing your business:

• Is it profitable?
• Is it well-run?
• Is it an attractive purchase for a buyer?
• What would improve its value?

The good news is that 2025 remains a strong year for selling a manufacturing company, especially if your financials are solid. A well-performing business with good margins and stable customers is always appealing.

Is Your Manufacturing Business Too Dependent on You?

Here’s is the hard truth about business Owner dependency is one of the biggest factors that drags down business valuation for manufacturers. If everything—from quoting to production to customer relationships—relies on you, buyers see risk. And risk means discounts. In fact, owner-dependent manufacturing businesses often sell for 20–30% less than similar companies with strong internal leadership.

Owner Dependency Risk

Buyers pay less for businesses that rely heavily on the owner for:

• customer relationships
• production knowledge
• technical problem-solving
• quoting, pricing or sales

Its in your interest to reduce owner reliance years before selling. Start shifting major tasks, client relationships and technical knowledge to a capable team. Document everything. Now is the perfect time to start reducing that dependency:

• Delegate more tasks
• Document your systems and processes
• Train your team and identify future leaders
• Hand over key customer relationships gradually

Your mission is simple . You need to show potential buyers that the business can thrive without you. This is a core piece of succession planning in manufacturing and a major value booster.

Time for a Business “Glow Up”? Preparing Your Business for Sale

As manufacturer accountants we see the good and the not so good manufacturing businesses .Its time to work on yours !

Think of this stage as giving your business a makeover. Buyers want clean numbers, modern operations, and growth potential. Investing time here is one of the best ways to maximise business value before sale.

• Financial Clean-Up
• Buyers love clarity.
• Aim for:
• Clean, accurate, audited (or reviewed) financials for the last 3–5 years
• Clear documentation of add-backs and adjustments
• Transparent reporting systems and regular performance reviews and management

These improvements boost your Adjusted EBITDA—the number most buyers use when valuing manufacturing companies.

Operational Upgrades

Today’s buyers expect efficiency and scalability. Consider:

• Updating old equipment
• Implementing or upgrading your ERP system
• Improving workflow and production processes
• Reducing bottlenecks
• Modernizing operations is one of the most effective ways to increase your sale price.

Customer & Supply Chain Stability

A diverse customer base and a reliable supply chain reduce buyer risk. If you rely too heavily on one key customer or one key supplier, buyers will adjust their valuation accordingly. Start working now to broaden your customer mix and strengthen supplier relationships. Reliance on either one big customer or supplier could impact greatly of the salability of your manufacturing business.

Document procurement and quality processes

These steps make your business far more attractive.

Your Retirement Strategy: It’s Not Just About the Sale Price

For most manufacturing owners, selling the business is the biggest financial event of their life. That’s why your retirement planning and your sale planning must work hand in hand.

It’s wise to work with:

• A financial adviser to model your retirement income
• A tax adviser to structure the sale correctly
• An accountant to prepare financials and due diligence documents

Small decisions—like choosing an asset sale versus a stock sale—can make a massive difference in what you actually take home. Planning early gives you options and control.

Start planning now! The Risk of Waiting Too Long or doing nothing is not an option.

Manufacturing is an aging industry. Nearly 40% of workers in many businesses are over 55. At the same time, consolidation is accelerating, and competition is shifting globally.

Waiting for the “perfect time” often leads to declining performance and issues around health. The outcome is often a quick forced sale that can lead to lower sale price and buyer regret. Not to mention stress of the business sale that may not be on your terms

The right time to plan your sale of your manufacturing business exit strategy is always before you need to sell. Whether you want to retire soon or in five years, starting the conversation early gives you more choices, more value, and more peace of mind.