Good business plans have a pre-determined exit strategy – this doesn’t have to be a result of Brexit. If it is time for you to implement your exit, we offer advice for ensuring the successful continuation of your business into its next phase.
2019 is set to be an interesting year for UK SMEs, especially with Brexit approaching. According to the State of Small Business Britain report, 2018, Brexit currently dominates public debate for its perceived impact on SMEs. The latest small business survey, carried out in 2017 Q4, suggested only “27% of SME owners anticipated Brexit would have a detrimental effect”. Among owners citing Brexit as an obstacle, “uncertainty about regulatory changes (81%), future access to EU markets (63%) and potential increases in input costs (56%) were the dominant issues”.
It would be interesting to know how those figures differed in 2018 Q4, closer to Brexit. However, we know business owners are nervous about the future uncertainty. But we also know business owners who are looking firmly beyond Brexit. So, don’t let Brexit push you into leaving the business you have invested so much of yourself into. Uncertainties will become clearer, and your industry may not even be affected.
However, there are any number of reasons for exiting your business, and not just because of the potential impact of Brexit. These may include:
1. It’s time to retire
2. It’s time to hand it over to the next generation
3. I’m not good at it: My business is failing
4. I’ve become bored, so want to do something new
5. The industry I am in is not as strong as I thought
6. My health is failing, and it’s time to put me first
7. I have brought my business as far as I can, let someone else take it higher
8. The market is uncertain, I’m not sure I’m the right person to carry it forward
9. There is value in my business; I want to access it for my next venture
Your exit doesn’t mean the end of your business
Regardless of why you want to implement your exit strategy, the key is to ensure continued security for your staff and customers, as you work out what you want to do. Exit doesn’t mean the death of your business, especially if what you have is profitable. You can put it on the market, cash in on your investment, and let someone else carry on the legacy you have built. Or, if it is not as successful as you’d hoped, your exit strategy allows you to limit your losses, whilst giving your business a chance at a new lease of life.
When exit means sale
If you are thinking you will sell your business, this year, the expertise of my network of brokers will be able to guide you through the steps. We know from having worked with thousands of business owners like you, over the last 40 years worldwide, how important your business is to you. Unless there are people within the business who are in a position to buy you out – which we can support you with how to manage this – many owners choose to protect their staff and customers during the process.
When exit needs confidentiality for future confidence
If you have determined it is really time for you to exit your business, the process doesn’t have to be more stressful than necessary. By engaging the services of a good broker, you have someone who will confidently walk you through this chapter of your business story. At Transworld Business Advisors, we train our brokers to the highest standards, based on 40 years’ successful brokerage around the world, our expertise, and using bespoke tools and systems which help the business sales process.
Just because others seem to struggle with negotiating exit terms, and make the process uncertain, doesn’t mean your exit strategy will be the same. Contact Transworld today for your free consultation, and let us help you facilitate the next stage of your business life.