As a certified exit planning advisor and business coach, I help my clients build the companies they’ve envisioned to fulfill their long-term personal and professional goals. My clients receive assistance with a financial projection to get the most proceeds and advisement on pursuing the most effective transition and exit plans for the continued success of their companies and optimal financial security for their families.
Recently, I’ve created a video about three essential questions every business owner should answer involving these elements that entrepreneurs must consider as early as possible.
This is Keith Atneosen, founder of Freedom Summit Consulting.
When it comes to business transition, there are three questions every business owner needs to be able to answer.
The first is: what are they looking to get in terms of proceeds out of the business? In order for them to answer that question, they need to have a good financial plan that really lets them know: here’s the amount of capital I need to pull out so that my family has financial security. So that’s the first question, how much do I need to get out of this business?
The second is: how soon do I want to sell? Some folks are really feeling tired and burnt out and they want to exit yesterday – other folks have energy and they’d like to maximize the value of proceeds that they can get from their business and they like to push for a few more years. But answering that question (how soon?) is really important and part of that is really knowing from an identity or calling standpoint.
What are they going to do after they leave their business? Do they have a sense of what that next season looks like? In a lot of cases, they don’t, so they need to create some margin of free time while they’re still in the business so they have a sense of what they’re going to launch into in that next phase.
And finally, the last question is: who do they want to sell to? This is a really important question because if they care a lot about legacy and mission, they might want to sell to somebody internally like their management team. In other cases, that’s not the best course for the business and they need to find a third-party external buyer.
But all three of those questions – how much do I need to get out of this business, how soon do I want to exit, and who do I want to sell to – are critical questions for every business owner to answer.
If you are a business owner who needs professional guidance in creating your dream business and having it secure your financial future and create a lasting legacy, you can book a consultation today.
