Business Exit Readiness Tips
Eyes Wide Open recently did a study that was able to identify the character traits of persons who were prone to getting trapped in their businesses. Read on to learn how flexible you are and how many options exist for your business and when and how you are working there.
Lifers are people who treat their business like a life sentence, one they cannot escape. The business cannot run without them and would go under; this would be catastrophic to their standard of living and renders them incapable of retiring or seeking other avenues of employment. People that have independence from their business are referred to as exiters. A business sale that is a success, or one year's vacation in the Maldives, only takes one quick telephone call. They can leave their business, and it'll do perfectly well in their absence. It is almost never an obvious decision.
The majority of persons who own their own businesses are going to reside somewhere between the positions of either a Lifer or an Exiter. Eyes Wide Open learned that there are 10 specific traits that separate Lifers from Exiters. These character traits have been incorporated within a quiz that can assist you in quickly determining whether this risk affects you.
Some questions are:
- Does your business of choice seem to define you? ex: Do you catch yourself in the middle of this sentence: "I really am a ??"
- Are you interested in any other activities besides your business venture?
- Do overly long hours seem like natural, inevitable "facts" of doing business.
- Does one client account for 30 percent or more of your total income from your business?
How would you do under these circumstances? Which one are you, a Lifer or an Exiter? Complete the questionnaire to find the answer. It is possible to find it in An Elegant Exit.
Leaving your business in a positive way.
Your chance of having a successful exit improves when you follow the next three steps.
- Determine WHAT outcome you desire
- Plan HOW to achieve that outcome
- GET ON with that plan.
People reacted in many different ways to Eyes Wide Open discussing these 3 steps.
Some respondents indicated:
- They had exit strategies that they followed right from the beginning
- There was nothing to be gained from talking about it because they had no problem with the idea of working forever
- The solution will be revealed when the timing is right
- They had given it some thought but hadn't put anything into action.
The research revealed 6 strategies business owners utilize to exit the business without difficulty. These strategies made sure that the correct planning took place, and that action was taken in order to increase the chances of obtaining successful results from the business.
Included in these strategies are:
- Devising a Life Plan
- Diversifying
- Developing a 'Carrot'
- Making Things Painful Enough that Change is Inevitable.
A publication called "An Elegant Exit" discusses all of these strategies in full detail.
Act Now
At the moment, exiting the business may not be a priority. An occurrence that may or may not be a future issue is less important than managing funds, people and regulations. You might not have enough time to make plans for today's activities, yet alone offer resources for things that may not yield results for many years. Your inaction is like rolling the dice of fate. A lot of the changes require time to happen completely. So if you want to have options tomorrow, you need to start right now.
For more information click here.
( 1 Vote )