Exit Planning for Your Business

What is Exit Planning?

Exit planning is a strategy to leave your business when you want, in the way you want, for the amount you want. With a solid exit plan, you’re more likely to maximize the value of your business and meet both your personal and professional goals down the road.

Who is Exit Planning For?

If you own a business, an exit plan is a necessity rather than an option. This holds true even if you don’t plan to leave it in the next 5, 10, 15, or even 20 years.

An exit plan focuses on all of the business, personal, financial, legal, and tax aspects that come with the transition of a private business. Its main goals are to increase the value of the business at the time of exit, reduce taxes and ensure the owner(s) can achieve their goals in the process.

Succession Planning vs. Exit Planning

Types of Exit Strategies

Merger

If you go this route, you’ll often retain an executive role as the owner, co-owner or manager of the combined business for at least a pre-defined period of time to ensure a smooth transition.

Acquisition

In an acquisition, one business buys another. If your business gets acquired, you essentially give up ownership of it.

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