A big part of Workshop Strategy is workshopping a possible exit.
Exiting a business is one of the most significant, complex, and emotional decisions a business owner can make. Our founder understands this journey intimately, having built a quarter-billion-dollar company and successfully sold it to private equity. He received numerous offers over the years and carefully chose the right time, both personally and professionally, to make his move. This experience fuels our approach at Workshop Strategy.
We have been there, we know it, and we get it. Exiting a company involves various scenarios, from continuing to work for the business post-sale to leaving it entirely, giving up majority ownership, or even just testing the waters to see if it’s a viable option. The decision to exit is multifaceted and profoundly personal.
Understanding Your Exit Strategy
There are countless cookie-cutter approaches, data analyses, and factors that can influence a potential deal. But let’s pause and take a step back. Before diving into the financials and logistics, it’s essential to ask the right questions. Does it make sense for you to exit and sell your company now? Do you truly want to or need to, or both? Why are you considering this exit, and does your reasoning hold up under scrutiny? Is there an emotional component driving your decision?
At Workshop Strategy, we specialize in workshopping the idea and strategy with you. We believe that understanding the deeper reasons behind your decision is crucial. This process helps ensure that your choice aligns with both your personal and professional goals.
Emotional and Practical Considerations
As a founder-led company, we see you, hear you, and understand what you’re going through. We will workshop that idea together and guide you to where you want to be. The emotional aspect of exiting a business cannot be understated. It’s a life-altering moment, filled with mixed feelings of achievement, loss, and new beginnings.
Our approach involves more than just numbers. We help you consider the practical aspects, such as the potential impact on your employees, customers, and your own future. Will you stay involved in the company post-sale? Are you ready to step away entirely? Each of these questions plays a crucial role in shaping your exit strategy.
Tips for a Successful Exit
- Start Early: Begin planning your exit strategy well in advance. The earlier you start, the more options you will have.
- Understand Your Value: Have a clear understanding of your company’s worth. Get a professional valuation to avoid underselling your business.
- Prepare for Due Diligence: Ensure that your financials, contracts, and legal documents are in order. This will streamline the due diligence process and make your business more attractive to potential buyers.
- Consider Your Legacy: Think about what you want your legacy to be. How do you want to be remembered by your employees, customers, and the industry?
- Seek Professional Advice: Work with experienced advisors who can guide you through the process and help you avoid common pitfalls.
There is no one-size-fits-all answer. Having advised many, we know the process from the ground up. It’s a journey few truly understand unless they’ve been through it themselves. At Workshop Strategy, we don’t just offer advice; we offer empathy and experience, ensuring you make the best decision for your unique situation.
