Articles 
From manager to owner: finding your authentic leadership style
Hopefully, your style will be whatever feels authentic to you and makes you effective in your role. However, these two things are not always aligned.
A significant number – at least 50% – of our clients look to some form of exit that involves their management team stepping up to ownership.
Empowering your team for success: trust, transition, and exit planning
One of the most satisfying and rewarding aspects of being an owner-manager is witnessing the growth and development of your team. Knowing that you’ve played a pivotal role in the advancement of key individuals and the team as a whole is a source of pride.
Moreover, team development serves as a significant driver of growth and improvement for your business.
An Exit Plan is not all about you
Exit planning. Who’s it for? The obvious answer is you, the business owner. If you want the best possible exit from your business, a good plan removes many elements of chance.
It provides you with greater confidence in how the final stages of your business ownership will pan out and so puts you in a better position to make plans for what comes next.
Is your business struggling with cash or capability?
One reason for considering an exit is that your business has plateaued. You may have had a good run building up the business, perhaps over many years, but have now hit a ceiling. It’s a frustrating place to be – what worked in the past no longer seems to give the same results; you can see plenty of opportunities but can no longer find the formula to turn them into success.
There may be many reasons for this stalling of business growth: misreading the market, failure to refresh products or services, pricing that no longer reflects the value offered, suppliers tightening their terms of business, unproductive team members, the wrong skills sets, not keeping abreast of industry movement and developments, or perhaps you’ve just got tired.
Leaving a legacy from your business journey
One of the often-mentioned words in exit planning is ‘legacy’. If you have owned and built a business over many years understandably you may feel the desire to leave a mark after your tenure of that business has come to an end.
Exit planning isn’t just about money
You put in place an exit plan because you want to sell your business – hopefully for an attractive price that sets you up for what you want to do next in life. At least, that’s one scenario. If that is your objective then a good exit plan will help you prepare the business for sale, identify ways to find buyers and ensure the business is in the best shape possible for a successful outcome.
However, what if you are not interested in selling but do want to step-back – is an exit plan still relevant?
What’s your business story – and how might it enhance your exit?
Selling your business is no different to any other sale in that it has both objective and subjective aspects. To get the best outcome from your business exit you need to work on both.
A potential acquirer of your business will look both at the facts and the story you tell. Different acquirers will place different emphasis on each. Business sales and valuations are assessed by various factors such as assets, financial record, risks and potential. The first two are pretty clear – they are what they are (or should be although different methodologies may result in different valuations). The second two, risks and potential, are more open to influence by ‘the story’ you tell. This story telling has a bearing on an acquirer’s perception of how ‘attractive’ your business is and how easy might be the purchase and integration.
Is your business ready to be sold?
How often have you received an approach from a company proclaiming they can sell your business?
Perhaps it offered you a place at a seminar or a ‘free consultation’ with an expert in valuing your company.
Where did the letter or email go? Was it set aside because one day it may be useful, or put straight into the bin?
The business of selling businesses is, well, big business. The key point to recognise is the difference between being ready to sell and being ready to plan your exit. There is a big difference in timing and the steps you need to take.
Do you need to have owned a business to undertake a successful MBO?
What does it take to take on the ownership of the business you work in? Is prior experience essential? If you’ve not owned a business before, can you ‘learn on the job’?
If you are fortunate enough to have an opportunity to become the owner or part-owner of the business you work in, should you take it? What might the current owner consider in formulating their decision to sell to the management team?
Celebrating 20 years of Henchards
From the germ of an idea into a twenty-year journey; in February 2003 Henchards was established. What did we plan, how did it turn out and what’s next?
Henchards’ Director, Ian Parker, tells the story, “I don’t come from a family of entrepreneurs, nor did I harbour grand plans of business ownership when I was a lot younger. I lacked a ‘guiding’ hand when it came to work and business. As a consequence, I had always made ‘what next?’ decisions as each opportunity or obstacle presented itself. Whether through luck, judgement or otherwise I started the business having just left Orange, where for four years I led the multi award-winning customer service team, with an itch to do something differently.
Downloads
We’ve written a number of guides on selected business subjects that will set you and your business in good stead for whatever future you may choose.
These are free for you to download and to make use of in your business, so please help yourself.