Planning for what’s next
As a business owner you have put 110% into your business. Long hours, sleepless nights and tough decisions are on the daily agenda. As most owners do, you get to a point when someone asks or you ask yourself "When will I retire?" The next trail of thoughts then lead to what will I need to live post-ownership and what will become of the company I worked so tirelessly to build.
That is where an Exit Plan comes into place. Most owners have two-thirds of their wealth tied into their business, and the other one-third isn’t enough to sustain your lifestyle during retirement. Typically an exit plan should be prepared and begin being executed at least five years prior to the actual exit so you can optimize your business’ value, minimize taxes and have confidence that your legacy will continue.
Our client base is comprised almost entirely of privately-held businesses. With over 25 years of experience working as a partner with our clients to help them grow their businesses, we have the advantage of understanding the unique needs of owners of privately-held companies.
The outcome of the exit plan not only impacts your future, but your employees, their families and the company as a whole. Since there is no one-size fits all approach to an exit plan, we work with each owner to customize a plan that is designed to achieve the goals of the owner and the business.
Below is the process we use to help clients develop their exit plan.
Establish Desired Outcomes
Identify key players in plan
Identify objectives and desired outcomes/goals
Identify timeline and review periods
Discovery and analysis
Collect data (estate, legal, insurance, financial documents, etc.)
Review of current documents to determine impact of current status on defined goals
Create a current status report detailing what the outcomes would be if exiting by emergency or in 1yr, 5 yrs, etc.
Drafting of Plan
Meet with key players to create action plans and timelines to achieve goals
Outline and document the exit plan, estate plan and create contingency plans for unexpected exiting situations
Meet with all parties involved to review proposed plans and action items
Create final document plan
Annual Sustainability Review
Annual review and analysis of plan, action items and key players
Recommend and implement any necessary modifications
Presentation of review as necessary to key advisors and ownership team
If you are looking for a team of professionals whose dedication and experience with exit and succession planning adds a competitive advantage to your vision, then contact BCG&Co.’s team