Exit planning creates a detailed road map, allowing business owners to successfully exit privately held business. Its purpose? To maximize business value, minimize relevant taxes and ensure that the sale can sustain future personal and financial goals.
If you have not started the exit planning process, you belong to the segment of 75% of Australians who are in the same shoes. The majority of business owners delay exit planning, feeling unsure on where to start, who to consult or whether it will be worth the time and effort invested.
Sadly, without a succession plan, most owners suffer – selling their business for much less than its value or leave the burden to their family. An exit plan can accomplish many important goals if executed properly and reduce stress and hassle later in life.
Ascend Business Partners has developed a systematic approach to provide a unique and proven methodology to create your ideal exit strategy. The Seven Steps to Successful Succession includes:
Review of business as a vehicle to meet wealth needs, evaluating factors including sale readiness, operational assessment, business value and business structure
Define personal outcomes through consideration of individual goals, investment strategies, personal risk protection and exit options
Understand the premium business value drivers that are key to successful succession. Identify and implement value drivers to offer a business the best chance to stand out and sell for a premium.
Cultivate a clear vision for the future to capture what the business stands for, why it exists, improve profitability, motivate employees and provide guidance for key decisions.
Develop a clear focus on product/service innovation, growth activities, financial management, attracting and retaining good people and being well systemised to create a high performance business.
Determine whether business will sell or if ownership will transition to family or management.
Following these seven steps will give yourself the best chance to create a lifestyle that you have always dreamed about! Whether you hope to cruise the Mediterranean, perfect your golf or simply spend more time with family – the world is yours to enjoy!
If you are unsure whether it’s time to take the next step, we encourage you to try our complimentary exit calculator. Within fifteen minutes, these checklists will help to identify areas to improve before preparing an exit plan and selling your business.
We wish you the best in your process towards exit planning success!
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