A business parable about how exactly to create a start-up that will not trap you when you want to sell it.

According to John Warrillow, the number one mistake entrepreneurs produce is to build a business that relies too heavily on them. Hence, when the time involves sell, purchasers aren’t confident that the company-even if it’s profitable-can stand on its own.

To illustrate this, Warrillow introduces us to a fictional small business owner named Alex who is struggling to sell his advertising agency. Alex turns to Ted, a business owner and old family members friend, who motivates Alex to pursue three requirements to make his business sellable:

* Teachable: focus on products that you can teach employees to deliver.

* Valuable: avoid cost wars by specializing in doing a very important factor better than other people.

* Repeatable: generate continuing revenue by executive products that clients have to repurchase often.