Plan Your Exit

When to develop your exit strategy 

The sooner you start writing your company exit plan, the better. If you want to avoid the risks associated with poor business exit planning, a long-term strategy needs to be taken.

We advise that it takes between 3 and 5 years to set up a business for a successful exit. Leave it to the last minute and you’re stopping your company from realizing its true value.

Types of exit strategies

There are eight common business exit strategies:

1. Merger and acquisition exit strategy (M&A deals)
2. Selling your stake to a partner or investor
3. Sell on the Open Market
4. Family succession
5. Hire an Acquirer
6. Management and employee buyouts (MBO)
7. Initial Public Offering (IPO)
8. Liquidation
9. Bankruptcy

Ultimately, each exit strategy is right for different people, for different reasons. Ambitious entrepreneurs might look at a merger or acquisition, while family succession or MBO could be an attractive option to other business owners.