How do you build a relevant exit strategy?
First, bear in mind acquisition are quite rare. The vast majority of startups will never get one acquisition offer, let alone a good one.
Having said that, at a high level, three things you can do that aren’t very hard will increase the odds you have an “exit”:
- First, build the best product in a space. It really is this simple. If you are #1 in a space, the potential acquirers, if there are any, will eventually pay attention.
- Second, get attention. Acquirers read TechCrunch just like everyone else. They assemble a list of companies they should pay attention to based on media, events, and customer and partner conversations.
- And Third, build relationships. Get to know as many of the senior folks at your potential universe of acquirers as you can. And this can and will take years.
It really is that simple. I’ve been through 2 acquisitions as a founder, 2 as an executive, and this is “all” it took. Nothing else matters.
And most importantly — this is the exact same stuff you need to do to build a great business.