An exit plan aligns an owner’s business, financial, and personal goals and is a living document, so it is continuously revised as the business scales. It serves as a guide for the business owner as they prioritize critical decisions to scale the company. This ensures that as the company grows transferable value is increased and the business will attract investors when they go to market.

There are three types of third party business buyers – financial, strategic and individual – and each brings something different to the table. Which is right for you?

Don’t let fear render you complacent when developing your exit strategy! It’s important to understand the economic indicators driving the M&A cycle. Economics aside, there are other considerations, such as whether your business is positioned to attract a buyer or if you’re in the optimal stage of development to go to market.