The most important decision a business owner will make during the life of their enterprise second only to starting it is how to pass it on.
What legacy do I want to leave behind?
At Business Legacy Strategies it is our mission to assist the owner in determining their ideal exit strategy while keeping their personal goals and legacy in mind.
Internal transfer benefits
You may provide an opportunity to the people closest to you to own and run your business into the future.
By transferring internally to your managers, you get to avoid the incredible disruption that often accompanies a sale to an outsider.
More importantly, you get the flexibility to structure a transaction that is tailored to your personal timing, needs and, perhaps, has a high degree of tax efficiency.
All of these benefits sound wonderful but they come with a very large assumption – namely, the fact that the business will continue profitably without you. Planning for this transition will take time.
Selling your business
The most obvious exit option for many business owners is the sale of the business to another buyer, perhaps someone in the same industry. The immediate vision that forms is that someone else is going to take care of the problems that you currently face and they are going to pay you handsomely for the privilege of owning your business while you celebrate and dream of spending days in an idle manner, fulfilling the desires that you did not have time for previously.
Let’s take a look at a more realistic picture and why a sale may not be a panacea. Two primary questions arise. First, will the business sale be successful? And, next, what will you do with your time?
If your business is saleable, making the decision to engage in the planning process should be your first step.
These next few questions are harder to answer.
Answering these questions often create roadblocks. Not proving solutions for these roadblocks is why 80% of businesses fail to successfully transition.
The bedrock of Business Legacy Strategies practice lies in the preparation of your custom Exit Strategies Solutions Report. The ESSR is a comprehensive and detailed exit strategy tool that is intended to serve as a roadmap for you and your advisors while executing your chosen strategy. Our in depth analysis keeps the owners objectives in focus while providing viable exit options to choose from.