The exit planning process is a great thing to do especially if you are contemplating leaving your business in the next few years. There are a number of reasons to think long and hard about an exit strategy however, the most important reason of all is to maximize the value of your business. As business brokers we see TONS of Owners leave a lot of wealth on the table when they exit their companies for one simple reason: Lack of Preparation!!
Many Owners have spent decades and maybe even a lifetime building your business into what it is today. You Deserve to get Top-‐Dollar. Transitioning from your company will definitely be one of the most important and complex decisions you will EVER make. It is so disheartening when an owner has to pay double the amount of taxes that he would have had to pay had he planned better. Even worse is when there is a profitable business that looks fantastic on paper but carries no value to a buyer and is never sold. ALL of this can be avoided! There are many consultants, brokers, and advisors that know exactly what to look for that almost always offer free consultations. The ROI of your time by meeting with one of these professionals will be invaluable.
When you hear the words “Exit Strategy” what you are really hearing is “Value Maximization” You owe it to yourself, your loved ones, and employees to get the ball rolling on this as soon as you begin to have thoughts of sailing off into the sunset. When selling a business you only get once chance, so do it right.
Exit planning should consist of creating a check list of what you need to do. Get a rough valuation done of how much your business is worth today and then assess where your business has gaps that will seriously impact valuation. A third party Business Broker or CPA will easily be able to point out the weaknesses in your business and help you create a plan by giving you suggestions or steps that can be taken to make sure you get the most for your business.
Exiting a business is very complicated and can be quite stressful. The good news is with some proper planning it doesn’t have to be. To get all the details about transitioning out of your company please contact LISITEN ASSOCIATES for a FREE Consultation! 212-661‐4160