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Friday, January 2, 2009

Exit Strategies Pay Big Dividends

Every business owner should have an exit strategy or succession plan in place, even if you do not plan to sell in the near future.  By developing an exit strategy for your business you increase the future value of the enterprise and build a better business along the way.  Your exit strategy does not need to be an elaborate and exhaustive "book", it can be a simple functional plan that addresses the specific things you need to do to grow your business, make it less dependent on you, develop your staff so a transition to new management is easier, tax and estate planning, and increase the profitability (which will increase the value of the businesss). 

 
You can start working on your exit strategy by meeting with your tax and financial advisor and your local VR professional intermediary.  Planning ahead will increase the value of your business, make your business more marketable, and by working with your tax advisor well in advance could save you a bundle in taxes with proper planning.
 
For more information on developing your exit strategy see our webpage Developing an Exit Strategy

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