Guides for owners · 8 min read

Getting your business ready to sell: a 12-month checklist

By Colton Doan, founder of Sellvara · Updated October 30, 2026

The owners who get the best price are rarely the ones with the best businesses. They're the ones who prepared. A year of preparation can make your business easier to understand, less risky for a buyer, and faster to sell, and every one of those shows up in the price.

This checklist assumes about 12 months before you plan to list. If you have less time, start at the top and do as much as you can. If you have more, even better: two or three years of clean, steady results is the strongest thing you can show a buyer.

12 months out: set the foundations

• Talk to your accountant and lawyer. Tell them you're planning to sell. Ask your accountant how a sale would be taxed, and whether a share sale or an asset sale would suit you better.
• Ask about tax planning now. Some tax planning, such as making sure your corporation's shares qualify for the lifetime capital gains exemption, can take time to put in place. Your accountant can tell you whether it applies to you.
• Get a first estimate of value. You need a rough idea of what the business is worth to plan your retirement and decide whether now is the right time. Our valuation guide explains how it works.
• Write down your goals. Price, timing, what happens to your staff, and how long you're willing to stay on after the sale.

9 to 12 months out: clean up the financials

• Get three years of financial statements in order. If your statements are only prepared for tax, ask your accountant about a higher level of review. Buyers and lenders trust reviewed statements more.
• Make sure your books match your tax filings. Differences raise questions you don't want during due diligence.
• Stop running personal expenses through the business, or at least keep a clear record of them so they can be added back.
• List your add-backs, with receipts or records for each one: one-time costs, personal expenses, and anything else a new owner wouldn't pay.
• Separate any assets you don't plan to sell, such as a personal vehicle or property the business doesn't need.

6 to 9 months out: reduce owner dependence

This is where most owners can add the most value.

• Write down how the business runs. Key processes, suppliers, pricing, recurring tasks, passwords and accounts. A buyer wants to know the business won't stop when you leave.
• Move relationships onto the team. If key customers only ever deal with you, start introducing them to a manager or senior employee.
• Delegate. Hand over day-to-day decisions you've always made yourself, and let the team prove they can run things.
• Consider a retention plan for key staff. A buyer will want to know your best people will stay. Talk to your lawyer about options.

4 to 6 months out: tidy up contracts and legal matters

• Check your lease. How long is left? Can it be assigned to a buyer? A short lease or a landlord who won't cooperate can sink a deal.
• Put key agreements in writing. Handshake deals with customers or suppliers are hard for a buyer to rely on.
• Check which contracts can be transferred, and which need the other party's consent.
• Confirm permits, licences and registrations are current and can transfer.
• Deal with any open legal issues, disputes or overdue filings.
• Review your corporate records, such as minute books and share registers, so your lawyer can confirm who owns what.

2 to 4 months out: make the business look its best

• Fix the small things. Repairs, tidy premises, up-to-date equipment maintenance records.
• Review your inventory, and clear out old or slow-moving stock.
• Look at your online presence, your website and reviews. Buyers check them.
• Keep performance steady. Now is not the time to let sales slip or make big changes. Buyers look closely at the most recent months.

1 to 2 months out: prepare to go to market

• Gather your documents into one secure place: financial statements, tax returns, leases, contracts, employee list (without names, for now), equipment list and permits.
• Prepare a short summary of the business for buyers, and a blind version that doesn't identify you. See how to sell your business confidentially.
• Decide how you'll find buyers: a broker, your own contacts, or a marketplace. Our guide to whether you need a business broker compares them.
• Agree on your asking price and your walk-away price with your advisors.

During the sale: keep running the business

The most common mistake owners make once a sale starts is taking their eye off the business. Sales take months, and buyers will ask for updated numbers. If results drop during the process, the price usually drops too. Keep running it as if you'll own it for years.

Common questions

How far in advance should I prepare to sell my business?

Ideally one to three years. Even 12 months of preparation, such as cleaning up the financials and reducing dependence on the owner, can make a business easier to sell and more valuable.

What increases the value of a business before a sale?

Steady or growing earnings, clean financial records that match tax filings, a business that runs without the owner, a diverse customer base, and transferable contracts and leases.

Should I stop paying personal expenses through the business before selling?

It helps. Buyers prefer clean statements. If personal expenses remain, keep clear records so they can be added back when the business is valued.

Ready when you are

When you're ready, Sellvara lets you list privately, share details only with buyers you approve, and keep your own advisors involved throughout. Start with a free valuation estimate, or read the full step-by-step guide to selling a small business in Canada.

This guide is general information, not legal, tax or financial advice. Every sale is different: talk to your own accountant and lawyer before you decide.