Shropshire business owners looking for a smooth exit when the time comes should plan well in advance.
That’s the message from DY’s Sarah Hartshorn, who is urging entrepreneurs to start thinking about their exit strategy sooner rather than later.
“All business owners have to exit their business at some point – it’s a fact of life. But it’s about making plans to ensure you sell for the highest value when the time is right, and crucially, that the process is as smooth as it can be.”
Sarah said it was important to understand all the criteria which would affect the ideal timeframe for the disposal of the business.
“Think about your own personal situation and requirements, as well as the company’s results and attractiveness for sale.
“Consider too the level of activity in your business sector and conditions in the wider market.”
At DY, Sarah explained, the team uses a structured set of exit planning tools to help identify where small improvements could make a big difference to the eventual sales process.
“Discussing all the potential exit routes is a good starting point – this is considered on a case-by-case basis, but could include family transitions, management buyouts, employee ownership structures, a trade buyer or a private equity-backed transaction.
“From our experience of conducting a number of disposals, during an exit planning workshop we can identify all the perceived risks that potential buyers may notice.
“Then we can help you create an action plan of small changes that will help when you are marketing the business for sale, or later down the line when due diligence teams are looking into your business.
“It may be years before you intend to sell, but the longer you allow for this process, the easier it will be.
“During that time, our team can also share regular updates with you about sale transactions taking place in your business sector, so if there’s a flurry of activity it may mean there are more potential buyers around.”
Sarah Hartshorn, Associate
