Owning a business can be a brilliant experience, but at some point, you’ll want to step back. Whether you're ready to retire, cash in, or just take a break, having an exit strategy allows you to plan your next move with confidence.
Exiting your business is one of the most significant steps you’ll take as a business owner. Without a proper exit plan, you may struggle to maximise your business’s value, face legal and tax complexities, and risk a difficult handover. Whether your plan involves passing the business to a family member, selling it to a third party, or closing it down, having a plan in place ensures you get the business outcome you want.
Exiting a business doesn't always mean stepping away completely. You’ll need to decide how much involvement you want post-exit. Options include:
When it’s time to move on, you’ll want to ensure that your business is in the best possible shape to maximise its value. This involves focusing on key areas such as:
Succession planning is about preparing your business for life after you. This means training the next generation of leaders, transferring key responsibilities, and ensuring your business can continue to run smoothly without you. A strong succession plan maximises the business’s value while ensuring stability for your team, clients, and new ownership.
Creating an exit or succession plan requires detailed consideration of your goals, timeframes, and who will take over your role. You’ll get the best results by involving your key team members and professional advisors; your accountant, solicitor, and financial planner. They’ll help you with everything from valuing your business, preparing legal documentation, and structuring the transition to be as tax-efficient as possible.
Many business owners delay creating an exit or succession plan, assuming it’s something to worry about later. However, waiting too long can reduce the value of your business and limit your options. You’ll want to plan at least 3-5 years ahead to give yourself enough time to increase the business’s value and to ensure a smooth handover when the time comes.
At Carthy Accountants, we specialise in helping you prepare for your business exit. Whether you’re selling, passing down, or stepping back, you'll get expert advice to help you maximise your return and ensure a seamless transition. You’ll receive guidance on tax efficiency, succession planning, and everything in between, so you can step away on your terms.
Need help with your exit or succession plan? Get in touch with Carthy Accountants today to secure the future of your business and get the outcome you want.