At some point in your business career you might end feel like moving on. But it is not as easy as it seems. It requires proper planning and execution. This planning is known as Exit Planning. Planning exit or succession is all about getting control over things like when and how you want leave and on what terms you want to leave.
Exit planning involves minimizing your income tax, securing your future income and also planning to provide a smooth transition to your team. There are various ways in which you can exit the business without any problem. Some guidance here will help you to get the best results.
Exit planning does not mean that you have to waste all your years of hard work. The creation of an exit plan means that you can map out each and every portion of your business, so as to get the desired result. Similarly, succession planning is making decisions as to who will carry on the business and who will have hold on it.
Are you wondering as to which is the best time to start planning exit strategy? There is no one particular time to plan an exit strategy. Life gets caught up when you run a business, and in all this mess you might neglect planning your future. This is why it is better to let someone else to do your long-term plan. This someone else is none other than Succession+. They provide all planning you need for your future. You can logon to their website www.successionplus.com.au for more information.
It is usually recommended to give you and your business at least five years to capitalize on the potential value when you leave. But the good news about exit planning is that you can do it any time you want. It is neither too early nor too late for exit planning.
For few other business owners who are concerned if it is late to exit, then just consider it like you are trying to sell your home swiftly. There are a few things you can do to enhance the value of your business in small amount of time. Though they will not have same effect as strategic succession plan, they will enhance the perception of the buyer.
There are a few simple steps you need to follow to get the best of your exit strategy. They are:
Identify the value of your business: First thing you need to do is know the value of your business and identify all that is hindering or helping your business.
Protect Value: You need to protect the value you created for your business so that you can de-risk it for yourself and also limit the risking value in the eyes of potential buyers.
Maximize the value: You will have a dedicated advisor who will suggest what can be done to maximize the value in the next five years.
Extract Value: A project manager will take care of all the other aspects so as to get the best value of your business.
Manage Value: Now that your business has obtained a value, you need to manage the wealth and minimize any kind of risk involved.
So what are you waiting for? Get an advisor today and plan your future.