Recognize the financial and emotional aspects of exiting a business

For many business owners, choosing to get out of a business is more difficult than starting one. The sweat equity and pride you put into the business over many years can make the process a very emotional one. Here are some ways KDV can help with this important transition in your life:

1. Prepare your exit plan ahead of time
   Whether you create a succession plan to focus on the leadership of the company or create a buy-sell plan to detail the distribution of your shares, we can help you focus on the end goal. You want to keep in mind things like what type of lifestyle you want after retirement or how you want to provide for your heirs after you die.
   
   
2. Deal with the emotional issues
   Realize ahead of time that you may have issues with your partners or chosen successor. You may also have concerns about what to do after you exit the business you worked hard to build, so planning ahead will help the smooth transition later.
   
   
3. Determine the true value of the company
   The first step in any exit strategy is to determine the worth of your business. There are the tangible assets such as property and inventory, but we can help you assess the intangibles, too, like employee knowledge, customer loyalty and company reputation.
   
   
4. Prepare the company for sale or hand-over and analyze details
   Selling a business is like selling a house. You want it to look good to prospects. Getting your financial records in order is akin to a new coat of paint: a little payout now can yield a significantly higher selling price. It also helps to develop goals for a transition of this magnitude whether you’re looking to sell the entire company, your share of the company or even just a business unit. In addition to shoring up your financial records, we can help you identify your target price, a profile of the ideal buyer and which elements of the sale you’re willing to negotiate. We can then analyze and rank offers against your goals to help you make a smart decision.
   
   
5. Develop a wealth management plan
   Once the business is sold, how will you manage your new wealth? We can show you options for making the most of your capital gain—while meeting your goals for retirement, charitable giving and estate planning. For more information, see the Financial Services section.

If you’d like to discuss your situation and find out how we may be able to help, contact one of our privately held business experts.