I want to exit my business

Planning for the future doesn’t come naturally for some, but you must prepare for exiting your business as early as possible.

Executing a well-thought-out exit strategy can increase your sale price and ensure the business continues to thrive after you’ve left.

There are several reasons you may want to exit your business. You may have set a goal of retiring by a certain age. It may be better for your health. You may have inherited the company and don’t want the stress, or you may be an entrepreneur looking for your next challenge.

What are the steps you need to take to exit my business?

1. Plan as early as possible – You need to think about what you want to get out of your business in the long term and how you will go about achieving that. The earlier you start, the longer you have to implement changes and achieve your goals.
2. Take a step back – When you prepare for the sale, you must take a step back. Delegate your essential functions so that the business can continue to thrive when you are no longer involved. Write down ‘how to’ guides so that a stranger could pick up the reins and run everything.
3. Sort out your finances – When looking to sell, the new buyer will want to look at the last couple of years worth of accounts. You should ensure they are in order and the business looks attractive to potential buyers.
4. Get a business valuation – Before you look to sell, you must know what your business is worth. This will make it easier to negotiate and complete a successful sale.
5. Review potential buyers – Review any potential buyers. It would help if you looked at a management buyout, competitors, suppliers and customers.

Remember, anything you do to benefit your future buyer will also help you. You’ll have a more efficient, profitable and easier to manage business.