I Will Be Required to Work for a New Owner for Years.
If one of an owner’s exit objectives is to leave the business as soon as possible, he or she needs to direct the exit planning advisor to make that a prerequisite of any sale. Some buyers require sellers to stay on after the completion, but if the management team is strong, most require the former owner to remain only for a short transition period, usually no more than a few months.
If the company’s management team consists only of an owner who wants to leave as soon as possible, the former owner should plan on working for the new owner for at least a couple of years. If the owner’s exit is still several years away, then there’s work to do.
The best way for owners to assure that they don’t become employees for the buyer is to make themselves dispensable which is often hard for a business owner by creating a management team that has proven its ability and motivation to make the company profitable. Then the exit could be as soon as on the day of completion.
If, however, you are thinking of exiting and don’t have a management team, and neither the time nor inclination to recruit one, then we have other solutions…..interested?
It all starts with a plan,
contact CapEQ to start the conversation