I am the sole proprietor of a consulting business. Is this salable? What would one be buying, my client list? Wouldn't I have to continue on in the acquiring firm?

There is certainly value in most consulting businesses, but maximizing that value requires careful planning well in advance of considering an exit.

If you are truly a sole proprietor in that you do not have any associates or employees, then your primary objective should be to duplicate yourself.

One way to do so would be to hire someone to begin building relationships with your clients. You will want to make sure that this key employee is carefully incentivized and hand-cuffed to your company so they don't build a relationship and then leave prior to your exit. Taken a step further, this person could be hired with the intention that they will ultimately be expected to grow into a partner and eventual owner. There are a number of ways they to structure the employment agreement so they buy in to the company (and you out) over time. Additionally, you can consider proposing a merger with another consultant of equal caliber, which would create that critical redundancy that an outside investor or buyer would be looking for in potentially far less time.

Another item to consider is the length and terms of your contracts with existing clients. It might be worth your while to consider exclusivity agreements (if possible) which would extend beyond a corporate transaction.

One last thought would be that having a place of business other than a home office might increase the perceived value and help overcome the perception that the business is 100% you.

Wow, great answer! Thanks for the suggestions.