Business Exit Planning

Exit planning is the development and implementation of a plan that allows business owners to exit on their own terms and conditions.

Pre-Sale Planning

Pre-Sale Planning, also known as Value Driver Planning, includes pre-sale due diligence and focuses on specific areas in the business to create more business value and cash flow.

Contingency Planning

Contingency Planning, also known as Business Continuity Planning, focuses on enabling the business to continue without the owner should the owner unexpectedly become unavailable.

Business Sales

Business Sales is the actual sale or transfer of the business to new ownership, completed per the business owner's prior planning, and resulting in the achievement of the owner's objectives.


Your Objectives

Any type of plan is only successful if it achieves your desired objectives. When do you want to leave your company? To whom do you want to transfer or sell your company? How much cash do you want or need to secure your post-business life? Do you want certain employees to be benefited by the transfer? Do you want to pass wealth down to your children or to other family members?

Your Financial Resources

If you sold your company tomorrow for its present market value, would the cash you derived from the sale be sufficient to provide you with a financially secure post-business lifestyle? Is there a gap between the current value of the business and what you need for your financial security?

Building and Protecting Business Value

Do you know which Value Drivers exist in your business and which, if any, are missing? The term "Value Drivers" encompasses those things that build value in a company such as a strong and motivated management team. It also encompasses those things that protect the company's value such as separation of duties and effective financial controls.

Business owners generally understand the importance of building value. However, it is every bit as important to protect the business value that has been achieved.

Transferring or Selling Your Business

Have you considered whether your preference is to sell your company to your children, one or more employees, to a competitor or to a third party? Many business owners want to sell their businesses to their children or key employees and think they can't do so because those buyers generally don't have the money required for the purchase. Many owners think they would end up carrying a large note and would be risking their financial security in retirement.

There are many options available to those business owners that take the time to identify their objectives and plan their exit accordingly. It is the business owners that attempt to sell their companies without prior planning that have severely limited options.

Other Considerations

What would happen to your business if you unexpectedly were unable to show up for work for six months or longer? Would the business continue operating successfully without you? What would happen if you transferred leadership of the company without transferring ownership. Would the company's revenue and earnings be detrimetally affected?

Appropriate planning allows business owners to leave the company if and when they want, with the cash they want or need, and provides a road-map to be followed if something unexpectedly happened to the business owner.