Business Exit Plan Template

Sketching out how you plan to leave your business harvest its value and ensure its ongoing vitality under new ownership is an important first step in guiding the final chapter of your involvement to a positive conclusion.

Business exit plan template. The exit strategy is an important part of the business plan and to avoid costly mistakes and limited options in the future the plan should be geared towards the exit strategy from the beginning. An exit strategy is simply a plan for what will happen when the day comes that you want to leave your business. It describes the form that the transition will take and it lays out plans for some of the detailsagain well get to those later in the tutorial. A business exit strategy is a plan for the transition of ownership either to another company individual or investors.

In most cases your written business plan should mention your personal exit strategy. For you as for any investor in a business the questions are the same when its time to move on. All businesses have a life cycle they start grow and mature at which point a decision needs to be made about the direction the business will take. Exit strategies include selling the company or turning it over to another individual via succession.

This article is intended for small business owners who may be considering an exit within the next 3 10 years. An exit strategy is how entrepreneurs founders and investors that have invested large sums of money in startup companies transfer ownership of their business to a third party. Exit strategies are plans executed by business owners investors traders or venture capitalists venture capital venture capital is a form of financing that provides funds to early stage emerging companies with high growth potential in exchange for equity or an to liquidate their position in a financial asset financial assets financial assets refer to assets that arise from contractual agreements on future cash flows or from owning equity instruments of another entity. Although there are many variations there are really only a few realistic exit strategies for most business ownersmost strategies only make sense for certain classes of business so for any given business even fewer options are viable.

But even if you are running a one person sole proprietorship you need an exit strategy. Sample exit strategy template this is the training manual for dog handlers to enter and exit a dog kennel safely and to train the dogs to behave during the procedure. An exit strategy is something that every investor in a small business looks for. With the larger income naturally comes a larger tax liability but this business exit plan is one of the easiest to execute.