Exiting My Business – Why Should I Plan?

Rainbow pipelines with valves

I talk to many business owners and I always ask the question, “How and when do you plan to exit this business?” It never ceases to amaze me how many people tell me, “I am never going to leave my business; this is my life.” Let me put that myth to rest immediately. Every business owner WILL leave their business. They may leave it vertically or they may leave it horizontally, but they will leave it. That being said, it is obvious that exit planning is very critical to business owners, but especially small business owners. Why? Let’s look at some statistics from the Small Business Administration. There are approximately 23 million businesses in theUS. Of these businesses, 99.7% have fewer than 500 employees. In other words, small business! Over 65% of these businesses are family owned or closely held businesses. Over 50% of small businesses are owned by individuals over 50 years of age. What does this say? There will be more businesses hitting the market for sale in the next … [Read more...]