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The choice of exit plan can influence business development decisions. Common types of exit strategies include initial public offerings IPOstrategic acquisitions and management buyouts MBO. A strategic acquisition, for example, will relieve the founder of his or her ownership responsibilities, but will also mean giving up control.
A key aspect of an exit strategy is business valuationand there are specialists that can help business owners and buyers examine a company's financials to determine a fair value.
There are also transition managers whose role is to assist sellers with their business exit strategies. Business Exit Strategy and Liquidity Different business exit strategies also offer business owners different levels of liquidity.
Selling ownership through a strategic acquisition, for example, can offer the greatest amount of liquidity in the shortest time frame, depending on how the acquisition is structured. The appeal of a given exit strategy will depend on market conditions, as well; for example, an IPO may not be the best exit strategy during a recession, and a management buyout may not be attractive to a buyer when interest rates are high.
The best type of exit strategy also depends on business type and size.The EPI Value Acceleration Methodology™ is the overall process taught in the Certified Exit Planning Advisor (CEPA) Program.
The Methodology creates a Master Plan for the business owner which integrates business, personal, and financial goals into their exit strategy.
An accurate business valuation is a crucial piece of business intelligence during the most important and stressful situations of which an owner will navigate his business through. Situations calling for an accurate valuation include; business transactions, estate planning, exit strategy planning, partnership disputes, lawsuits and divorces.
Exiting Your Business, Protecting Your Wealth: A Strategic Guide for Owners and their Advisors John M. Leonetti is the founder and managing director of Pinnacle Equity Solutions, an exit strategy planning firm which offers planning services to business owners as well as education and training programs for professional advisors.
6 Small Meat Processors Business Planning Guidebook order: Executive Summary, Financials, Management, and the Competitive Analysis; some investors also will want an exit .
Introduced to the profession by EPI CEO, Christopher Snider, CEPA, the Value Acceleration Methodology™ is the process taught at the CEPA Program which integrates exit strategy into business, personal, and financial goals of the business owner. Online shopping from a great selection at Books Store.
The Master Plan Exit Strategy For Successful Business Owners: Discover a Strategic Planning Formula for Maximum Company Value, Strong Asset Protection and Work-Life Balance.