You’ve worked hard to build your business. When the time comes to plan your exit, you naturally want to choose the strategy that will provide the greatest gains. A business consulting service can help you make the best decision for your needs by recommending one of the following options.  

3 Popular Business Exit Strategies

1. Management and Employee Buyout

While similar to a traditional merger & acquisition, management and employee buyouts allow the process to occur internally. This simplifies the due diligence process since you’ll already be aware of the most important information about your prospective buyer. It also ensures that your business will remain on the right track, as you can rest assured of your management team’s overall vision. This option may make financing a bit trickier, so you should work with a business consultant to prevent your enterprise from feeling a financial squeeze.

2. Initial Public Offering

Going public offers a number of great benefits if the process is successful. However, many companies face difficulties when they go public, especially when faced with exorbitant costs. If you’re considering this option, it’s crucial that you work with a business consulting specialist before making the leap. A successful initial public offering, or IPO, can lead to exponential financial growth, as well as the satisfaction of knowing that your goods or services are globally recognized.

3. Succession

Succession planning entails choosing a trusted friend or family member to take over your business. While less lucrative than other options, succession planning ensures that your business’s mission remains the same as when you were at the helm. It’s also a great way to pass the torch to another generation while simultaneously preserving your company’s legacy. Note that you may face resentment from other loved ones if they question your selection, so make sure you consider all aspects of this decision. You also need to arrange the changeover carefully to prevent serious tax penalties or even an audit. Careful planning with a business consultant can help smooth out this process.

If you own a business in or near Checotah, OK, Joe Heard, CPA can help you craft the best exit strategy for your needs. As a local leader in business consulting, he will review your current financial setup, as well as establish what the ultimate goal of the sale. This trusted accountant also offers many other essential services to business owners, including help with bookkeeping, payroll service, and tax return preparation. To set up a consultation, call (918) 473-1492 today. You can also visit his website to learn more about creating a successful exit strategy.