Considering your Business Exit Options?

You can have an exit plan in mind from day you start your business, although this may change as your business evolves overtime. In other words, the earlier you start planning your exit, the better! If you have a plan for the future of your business, you can plan your business strategy around this and will have something to work towards. However, lots of business exits aren’t always planned – you may receive an offer that’s too good to refuse or your personal circumstances may change. In which case, our specialist business advisors will be on hand to guide you through the process.

Your business accounts and financial information will go through due diligence as part of the sales process. If your accounts are organised with no hidden surprises, it will make the process more straightforward. Our business advisors can discuss the benefits of vendor due diligence to highlight and mitigate any potential issues before beginning the process. 

The technique you would apply to get your business valued, depends on your structure, the type of business and the risk associated with it. 

Our business advisors will be able to discuss the best methods, next steps and the type of purchaser based on your situation. 

There are a variety of valuation techniques dependant on your type of business and its corporate structure. Typically, a trading business’ value is calculated as a multiple of earnings where the multiple is linked to the level of opportunity or lack of risk within the business and its industry. Ultimately a business is worth what someone is willing to pay. However, being well prepared for a sale and being able to identify the correct purchaser can help maximise the sale price.