Exit strategy planning for your business is critically important, yet often neglected – with potentially disastrous results.
Some business owners figure on the wait and see method, building an attractive business and hoping that someone will make them a buy-out offer. Consider that some studies suggest that 90% of businesses that are actually listed for sale never sell.
Other business owners don’t think about their exit at all, until the day they unexpectedly pass away and their heirs unexpectedly take over a business they know nothing about running. Maybe this is why 70% of family businesses fail before the next generation can run with them.
Proactive and early exit strategy planning is a much better idea. As odd as it sounds, I often start working with clients on planning their exit at the same time I help them form it!
Fact is, one of the biggest differences between owning your own business and having a job, even a very well-paying job, is building a valuable asset that can provide you and your family with long term financial security. With the right planning, your business can even be a big part of your retirement plan!
Without the right exit strategy planning however, and you could miss out on huge opportunities or your business could even fail or fall into the wrong hands.