When talking with business owners about their future, one statement of the obvious is: at some point in the future you will no longer own this business. So why not plan for the best possible transition now?
Your exit from your business can be a strategically planned, hugely positive and rewarding experience. If left to chance or left too late the outcome may be underwhelming and potentially lead you to sticking around longer than you want or longer than you can add any real value. Or worse still you may become incapacitated or die and leave the business in a vulnerable state. Taken into your own hands and given enough planning and time your business exit can be transformational for you and your family.
You have two precious and valuable assets tied up in your ownership: the time you commit to running the business and the money that may come your way. Both aspects need a plan to release these assets in a controlled and effective way. Your time can be yours again with a management transfer strategy and your money can be realised with an ownership succession strategy. Our role is to help you clarify your objectives, develop these two strategies and support you in making them happen.
As business advisers, we actively encourage our clients to prepare for the next stage of business ownership – typically two to five years prior to the eventual exit. This means our clients are clear about their end goals and have time to prepare themselves and their businesses.
In some cases, the end of business ownership and end of life come together – often unexpectantly. This is one reason we encourage business owners to start planning for handing over management responsibility and considering their options for ownership transition – plus there are further preparations and protections to be considered such as insurance and an up to date will.
Ready to start planning the end of your business? Call us for an informal discussion.
(Photo by Annie Spratt on Unsplash)