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Business Owner Planning – Transfer Strategies

Before you walk away…

Business owners only leave the business once. We refer to it as their “ultimate event.” Our responsibility is to make sure you do it successfully, so you can live your life in style.

Our experience has shown over and over again and reinforced by institutional analysis that business owners who begin the planning process early are in a far better position to seize opportunities and shape their own futures. Procrastination is a business owner’s nemesis. Exit Planning is the difference between regrets and rewards. Contact us to schedule an appointment today.

With a 30-plus-year record of proven success, Forecast Strategic Advisors has built a reputation for creating effective business transfer strategies like Final Cast™ for our clients.

Who is the more likely buyer?
One of the most difficult decisions is whether to transfer ownership of the business to a party outside of the business, or to co-owners, employees or family inside the business. On the one hand, selling to an outsider generally means you want to have the highest realistic value on the business that you can. This is a one-time, cash deal. Everything you’ve been doing to enhance the business value will pay off here. And since you’ve put the right compensation and incentives in place, your employees are more likely to stay on with the new owner. Let’s face it, an outside buyer pays more for your business when there are compensation plans that align increased compensation with increased profitability of the business.

On the other hand, when you sell or transfer your business to key management or employees, it may be best to settle on a lower valuation with an increased cash flow coming your way in an ongoing consulting agreement and deferred compensation after you’ve left the business.

There are pros and cons to each approach. With Forecast Strategic Advisors on your team, and our Final Cast™ methodology, you’ll be able to make the most intelligent evaluation of all of your options, and put in place those that meet your objectives. Contact us for more information.