Robbinex is approaching 50 years of selling businesses. Since our humble beginnings in 1974 we have met thousands of business owners; have sold more than 500 businesses; and have provided advice, support, valuations, and/or guidance to at least a thousand others.
One thing that has been consistent for us during the past five decades is that 75 – 80% of business owners do not have a strategic exit plan. In fact, the majority of business owners we have met need to ask themselves these 5 questions:
There are financial models that clearly illustrate that a 20 – 25% increase in revenue will not only double profits, but also double or triple value. The owners are often simply too busy in the daily operation of running their businesses to truly see or realize the opportunities available to them.
Most businesses are operating at 60 – 75% of capacity with an efficiency rate between 70 – 85%. In other words, the 8 business fundamentals are not aligned:
Creating an effective exit strategy plan is a multi-step process that not only requires time but advice from several experienced professionals such as accounting and legal. Many times, we encourage our clients to form an “Advisory Council” to assess and develop a realistic exit strategy. A proper exit plan can often take 6 to 12 months to create and another 12 to 24 months to implement and effect the changes necessary to realize the full potential of the business when the time does come to sell it.
Download the Robbinex 10/5/3 Strategic Planning Workbook
Remember, the true value of any business lies in its ability to make a profit in the future …. that requires the following: Sustainability, growth, along with profitability now.
Are you thinking of selling your business? You need to start a strategic plan 3 to 5 years in advance. Robbinex is hosting a Business B4 Breakfast series of Strategic Planning Interactive Workshops that may be of interest to you. To learn more visit https://www.robbinex.com/selling-your-business-workshop/
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Yes, but it was more than 1.5 years ago
Yes, within the last 18 months
No, I don’t want one
No, but I am considering it !