Exit Planning Is Simply Good Business Strategy

Exit Planning Is Simply Good Business Strategy

Today's actions create tomorrow's opportunities.

What is Exit Planning?

Exit Planning combines the plan, concept, effort and process into a clear, simple strategy to build a business that is transferable through strong human, structural, customer, and social capital. The future of you, your family, and your business are addressed by focusing on creating value today.

Exit Planning should perhaps be accurately termed transition planning.

The word ‘Exit’ may imply this is only for people looking to sell now, or in the next 3-5 years. That it is reserved for baby boomers and older Gen X-ers.

Nothing could be further from the truth.

Good exit planning is a good business strategy by constantly building a valuable company.

Who knows when you might get an unsolicited offer or affected by the 6 D's. I added a sixth... disease.

Who knows when you or a loved one may experience one of the 6 D’s:

Distress

Disagreements

Divorce

Disability

Disease

Death

Who knows when you or a loved one may experience one of the 6 D’s:

Distress

Disagreements

Divorce

Disability

Disease

Death

PREPARATION is Key

See if you are ready to sell.

Step 1: Answer all questions for each category.

Step 2: Be very honest with yourself.

PERSONAL

Do you have an estate plan? *

Do you have a succession, exit or transition plan defining your eventual exit from the business? *

Do you have a comprehensive tax strategy that integrates your long-term goals and objectives with your eventual exit? *

Have you ever had a formal business valuation completed for your business? *

Do you know how much you need, not want, to net, if and when you exit your business? *

Do you have a contingency plan in case you become Incapacitated? *

Are your partners and/or family in agreement with your long-term plans and objectives for the business? *

OPERATIONS

Do you have a strong management team in place? *

Does the business have customer concentration? *

Do you have a strategic business plan? *

Are your products/services threatened by obsolescence or global competition? *

Is equipment up to date and in good working condition? *

Are your offices or buildings adequate to serve the needs of the business? *

MARKET & INDUSTRY

Is the industry/market in which you compete growing? *

How competitive is your marketplace? *

Do you have significant market share or a protected niche in the market? *

Are your profit margins in line with industry norms? *

FINANCIAL

Does the company have a consistent record of sales and profit growth? *

Is the company’s business seasonal? *

What was the company’s pre-tax profit in 2019? *

Are your financial statements audited? *

LEGAL & REGULATORY

Is your company organized as an “S” corporation? *

Has your company had any material lawsuits? *

Does the company have sufficient business insurance to cover Potential liabilities? *

Has your company ever had an environmental audit? *

CONTACT INFORMATION

Full Name *

Phone *

Email *

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© 2023-www.doctoryourbusiness.com- All Rights Reserved