EXIT STRATEGY – Do you have one? Kratom Example

Keeping You In The Know – Experts Advice

Is your business one of the few that actually has a documented exit strategy?

I recently worked with this company, they distributed kratom. They are very serious and professional, and projected a great first impression.

As I was working with them I became familiarized with their product, kratom. Their site at https://Kratommasters.com had info on it as well as was able to distribute the product. That is to say, they sell kratom on there.

To me the most significant thing was that it seemed to be very effective and well proven. I ended up ordering some for myself and began taking kratom regularly. I was pleasantly surprised with how effective it was. I’ve worked with different companies distributing different products before, for years, and this is the first time I became an active user of the product I was working with. Kratom really is that good, to put it simply.

An exit strategy is about leaving your business on your terms! And the only way to do this is to plan for the known AND the unknown.

Baby Boomers are ‘coming of age’ (that is retirement age) so many small business owners will be exiting from their business to retire during the next 10 years, and are hopefully already planning for this.

Some business owners, not yet ready to retire, will also be planning to exit their business, sometimes into another business or to take up other opportunities.

An exit strategy is a very important tool for any business to have and should be documented and part of your Business Plan.

The most likely exit strategies considered by business owners are:

  • Pass on the business to the next generation
  • Sell the business to other partners or employees
  • Sell the business on the open market
  • Pass on the business to other family members
  • Close the business and sell the assets.

You may already have considered all the above strategies and worked through the elements of your most preferred options. You also may have determined the possibilities and success of each option and the preferred timing of the exit. (ie. in the next 12 month, 2 years, 5 years or >10 years).

With all this thought and planning, your main goal of leaving the business on your terms, will probably be achieved.

But what about the UNKNOWN. Sickness, divorce, death, rogue partner and anything else that may affect your business. An exit strategy needs to cover as many of the ‘what ifs’ that could occur, because leaving a business because of an unplanned situation means that at best, the sale will not be on your terms and at worst, you walk away with nothing.

You should start planning your exit strategy from day one, and this, together with the Business Plan, should guide the processes of how you operate your business. If you are past day one, then tomorrow is a good time to start planning.

Speak Your Mind