As a business owner, you likely have plenty on your plate. You have a business to run, perhaps a family to care for, and many other responsibilities that require your time. So, why should you consider pursuing Exit Planning? Can it help address issues relevant to you without eating into what little time you have?
Whether you’re thinking about exiting your business soon or expect to stay in your business for decades, Exit Planning can have positive consequences for you, your business, and your family. Exit Planning uses an owner-centric mind-set. This means that Exit Planning focuses on your goals and desires. More specifically, Exit Planning works to position you to leave the business when you want, with the money you decide you need, and to whomever you choose. Rather than adjusting your goals to fit into a strategy, Exit Planning adjusts the strategies around your goals, giving you more control and freedom over how you approach your business exit, no matter which Exit Path you choose.
This owner-centric style of planning often leads to three positive consequences.
Keeps You in Control
As a successful business owner, you’ve likely spent most of your life calling the shots. You’ve had a vision of success and took control to pursue it. You’ve rarely left things to fate or chance. Exit Planning can extend those efforts into the future of the business and beyond. When owners commit to Exit Planning, they have more control over when they leave, how much money they can get upon leaving, and whom they can leave the business to. That’s because Exit Planning strategies use information about your company as it currently stands to chart a path toward what an ideal exit looks like to you. From growing your company’s value, to installing strong management teams, to identifying and capitalizing on competitive advantages, Exit Planning works to keep you in control and on course. Exit Planning helps you mitigate the effects of fate or chance on your exit, increasing the amount of control you have.
Introduces You to Proven Advisors
Exit Planning requires a team of advisors, rather than one or two advisors bearing the entire load of Exit Planning. While your Exit Planning Advisor will lead and coordinate your Exit Planning efforts based on your wants and needs, you’ll likely need specific professionals that you may otherwise not work with to move your Exit Plan forward. Your Exit Planning Advisor can help put you in touch with these advisors. Your Advisor Team sometimes includes advisors that you’re currently working with, too. But one of the most important criteria for advisors on your Advisor Team is that they work with you to achieve your goals. This isn’t a one-and-done relationship. The advisors on your Advisor Team collaborate with you and build relationships that facilitate the pursuit of your ideal exit. This collaboration and relationship-building often contributes to clearer and more effective strategies for helping you prepare yourself and your business for your exit, no matter when it may be.
Helps Pursue Your Wants and Needs
For many business owners, their business exits are a defining event. They’re the culmination of their lives’ work, and they often affect their businesses, their families, and even their communities. Few, if any, want what’s essentially their lives’ work to be done in vain. Exit Planning addresses this by drilling into what you need and want for you to consider your business exit and post-exit life successful. This includes instances in which your wants and needs change. It’s fairly common for owners to change their minds about what they want—whether it’s when they want to exit, to whom they want to leave the business, or otherwise—in the middle of the Exit Planning Process. Exit Planning is dynamic, not static, and gives you options to pursue the things that matter most to you.
If you’d like to discuss the positive consequences of Exit Planning or how Exit Planning can potentially fit in your busy schedule, contact us for a consultation today.
The information contained in this article is general in nature and is not legal, tax or financial advice. For information regarding your particular situation, contact an attorney or a tax or financial advisor. The information in this newsletter is provided with the understanding that it does not render legal, accounting, tax or financial advice. In specific cases, clients should consult their legal, accounting, tax or financial advisor. This article is not intended to give advice or to represent our firm as being qualified to give advice in all areas of professional services. Exit Planning is a discipline that typically requires the collaboration of multiple professional advisors. To the extent that our firm does not have the expertise required on a particular matter, we will always work closely with you to help you gain access to the resources and professional advice that you need.
This is published by Business Enterprise Institute, Inc., and presented to you by our firm.
Any examples provided are hypothetical and for illustrative purposes only. Examples include fictitious names and do not represent any particular person or entity.