In planning to exit your business, many factors have to be considered. The following is a partial list of some of the exit planning issues:
- Do I need to cut back on expenses or invest for growth?
- Do I need to have better accounting and/or operational systems in place before I sell?
- How many “good” years do I need to show in my financials before I sell?
- What do I do if I have revenues, expenses, or assets that are not shown in my accounting records?
- Do I need to build up my management team or make changes at the management level?
- Do I need to make other organizational changes or changes in non-management employees?
- Do I have a partner and/ or family members that are involved in this decision and process?
- How can I maximize my sales price?
- How much can I get for my business?
- When should I sell? Now or in the future?
- Who are my likely buyers? What is a strategic buyer?
- How will the sales price be paid for by the buyer? In cash? Stock? Note? Combination?
Picus Consulting has worked with dozens of companies in helping them deal with these issues and preparing for sale. We have alliance partners with significant experience on the sell side in helping walk you through your preparation phase and your sales process. Creating and executing an Exit Plan will very likely increase the value of your business when you sell.