Prepare A Proper Exit Strategy For The Next Generation.
At some point as a business owner—a moment will arrive when you decide to either sell your company to a third party or transfer it to a family member.
To sell for a high value, you must first create a business with durable value. You need to view your business as an asset that, like a financial portfolio, must be managed. Usually, owners are focused only on cash flow (and funding their sometimes outsized needs), rather than developing a business that will be capable of consistent performance no matter who’s in charge.
By following these four basic tenets, Burke & Schindler can help you prepare a proper exit strategy for your business:
Separate from the day-to-day.
In order to properly manage a business, you must create processes that produce sustained and profitable growth even without the owner.
Take a listening tour of your company.
This tour starts with your staff, customers, and clients, which often yield new ideas, fresh approaches, and maybe even a new business line. We will help you create processes that ensure consistent performance both customer-facing and back-of-house.
Focus on your processes.
Once you get past the product and people issues, you must focus on documenting the processes that made them successful. Processes are the only way to ensure a business operates exactly the same no matter who is at the helm.
Invest in value-building.
Ensuring that you create effective processes will ensure the business you built continues to provide value for your customers and employees long after you’ve moved on to your next challenge.
As a business owner, it’s important to understand that a successful exit strategy can only be achieved through deep thinking guided and facilitated by experts like your friends at Burke & Schindler.
“To sell for a high value, you need to first create durable value and need to view your business as an asset that, like a financial portfolio, must be managed.”