Selling Your Company: A Waze Founder's Perspective

Uri Levine, the founder of Waze, reflects on the decision to sell the company to Google and offers advice for entrepreneurs facing similar situations.

• Levine emphasizes that there are no wrong decisions, only decisions made and paths not taken.
• He believes that the key is to build a successful company that attracts acquisition interest.
• Levine stresses the importance of prioritizing the company's team and its well-being.

Build Your Company to Greatness

The first step in potentially selling your company is building a valuable, attractive business. Levine suggests avoiding the mindset of “selling” and instead focusing on creating something extraordinary.

• He recommends focusing on building a company that offers unique value and potential.
• This involves creating a strong team, building a solid foundation, and achieving growth.
• Levine suggests exploring various options, such as fundraising, achieving profitability, or continued independent growth, to increase a company's attractiveness.

Evaluate Offers Strategically

Once an offer arrives, Levine advises entrepreneurs to engage in a thoughtful evaluation process. He outlines a two-pronged approach:

• Consider whether the offer aligns with your personal and professional goals.
• Assess how to maximize the benefits of the offer for yourself, your team, and the company.

Key Factors for Decision-Making

Levine recommends considering four critical factors when evaluating an acquisition offer:

• **Life-Changing Event:** Determine if the offer represents a significant life-changing event for you, both personally and professionally.
• **Impact on Your Team:** Assess the impact of the acquisition on your team and ensure their interests are protected.
• **Future Opportunities:** Consider whether this is a once-in-a-lifetime opportunity or if there are other potential journeys in your entrepreneurial future.
• **Post-Acquisition Outlook:** Carefully evaluate the post-acquisition environment and your role within the acquiring company.

The Power of Negotiation

Levine emphasizes the importance of negotiation when considering acquisition offers. He outlines a straightforward rule:

• To secure a deal that aligns with your objectives, be prepared to say "no" to offers that don't meet your expectations.
• Create alternative options and engage in discussions with potential acquirers, private equity firms, and bankers to increase your bargaining power.
• Remember that the first offer is often not the final offer. Continuously creating value can attract additional and potentially more favorable proposals.

The Emotional Journey of M&A

Levine acknowledges the intense emotional rollercoaster associated with an acquisition process. The decision involves many factors: your journey, your team, your future, and your personal and professional aspirations. He notes that the emotions can be even more intense than the initial entrepreneurial journey.

• The decision to sell your company requires careful consideration of multiple factors.
• The weight of responsibility and the need for a quick decision create a sense of pressure.
• The emotional impact can be overwhelming as you navigate the various factors involved.

The Day After: A New Beginning

Levine describes the day after selling Waze as the start of a new chapter in his entrepreneurial journey. He emphasizes that the sale can be a catalyst for additional opportunities and ventures.

• The sale can be a stepping stone for new projects and ventures.
• It can provide resources and experience to pursue new ideas and opportunities.
• The acquisition can be a turning point for continued entrepreneurial growth and exploration.