Your business may be your most valuable asset—you've probably invested more time and energy there than any other single investment. Doesn't it make sense to consider your options when considering how you can exit? In considering an exit strategy, business owners don't plan to fail, they fail to plan. If you are like many business owners, the reasons for failing to plan may be:
- You may have simply been too busy working in your business to be working on it—at least until now.
- You may be unsure of how to begin exit planning, whom to use, or even where to begin. Those uncertainties can be addressed today.
7 Fundamental Questions
It is important to consider these questions when developing a successful exit plan:
1. Do you know your exact retirement goals and what it will take—in cash—to reach them?
2. Do you know how much your business is worth today, in cash?
3. Do you know the best way to maximize the income stream generated by your ownership interest?
4. Do you know how to sell your business to a third party and pay the least possible taxes?
5. Do you know how to transfer your business to family members, co-owners, or employees while paying the least possible taxes and enjoying the maximum possible financial gain?
6. Do you have a continuity plan for your business if the unexpected happens to you?
7. Have you taken steps to protect your family's wealth?
These questions are almost misleadingly simple to ask, but to answer them affirmatively requires thought and action on your part. Creating and implementing your exit plan may be the most important business and financial event of your life.
Davies Financial Advisors, Inc., specializes in helping business owners develop and implement a custom exit strategy. Guided by the Seven-Step Process and the Wealth Management Process, we coordinate the exit planning process for our business owner clients.
Contact Davies Financial Advisors, Inc., today!