You WILL Exit Your Business; These 5 Resources Will Make Sure You're Prepared
All entrepreneurs need an exit strategy.
Preparing to move on from your business is crucial for long-term success and can help secure your financial future. Experts agree that putting together an exit plan while you’re launching your business is the most effective route
, but it’s never too late to start. These blogs and videos offer practical advice from those in-the-know about how to navigate the process of transitioning out of your business.
Jack Harwell, a business adviser with the Kansas Small Business Development Center at Johnson County Community College, is a supply-chain guru who has more than 30 years of experience with the inner workings of businesses. In this in-depth Q&A, he discusses why exit strategies are important, what your options are and what you should think about when planning your exit.
“Owning a small business means owning an equity investment that pays dividends (hopefully),” Jack explains. “With this in mind, I like to think about the owner’s business as a component of their retirement portfolio. There needs to be some plan for what the long game is in terms of that portion of the portfolio and how it fits into the whole. Also, people tend to be more successful when they have the end in mind.”
Exit plans help an entrepreneur get the most value out of the time, money and energy they’ve invested in their business. In this video, Chante Keller of MOSourceLink and KCSourceLink delves into succession planning, exit planning and what to do when you think you may need to close your business.
“The best time to start your exit plan is when you’re starting your business,” Chante says. “Think of an exit strategy as a long-term plan for your company.”
Should you sell now or wait? In this KCSourceLink deep dive, Jack provides his take on how entrepreneurs should think about this important question amid the uncertainties of the COVID-19 pandemic.
“If you're uncertain about exiting your business, you should first reevaluate your objectives for transition,” Jack reveals. “If you need to factor in the possibility of a lower sale price, and if you can map out a strategy that will reasonably meet those objectives, then exiting now might still be a good option. If you’re unsure whether the outcome will meet your objectives, maybe it’s better to wait for a time when the future is more predictable.”
In this video, Joel Barrett of Missouri Small Business Development Center at University of Missouri - Kansas City has a conversation with two entrepreneurs: former shoe store owner and current business coach Jill Hathaway and former high-end food store franchisee Henry Graham. The two discuss their experiences with exiting their businesses and the advice they have for others.
“If we’ve learned anything from COVID-19, it’s that things can be rolling along just fine and then something can come completely out of the blue,” Joel says. “You don’t want to first start thinking about exit planning in a time of crisis. Take advantage of the time when the stress isn’t there to think through these things.”
In this step-by-step blog, Jack outlines what entrepreneurs need to do to improve their chances of getting a higher price for the sale of their business. He also covers how to prepare so you’re ready for any golden opportunities that might arise.
“Selling your business will be one of the most important milestones in your lifetime,” Jack says. “If you’re like most business owners I know, this will also be one of the most stressful periods of your life. When the stakes are this high, it’s good to know what could happen and to think through other potential outcomes.”
Have more questions about exit planning?
There's a lot more where that came from. Just give us a call at 816-235-6500 or let us know what you need online here. All of our services are free, and we'll connect you with the helpful local experts and organizations that can help you craft an exit plan, build a strategy and much, much more.
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