California Business Exit Planning
You may ask what is so critical about California business owners having an exit plan. The purpose is for owners to achieve their financial and lifestyle objectives. Can you answer the following questions?
- When do you plan to exit your business?
- At what valuation do you achieve your objectives?
- What is your business worth today?
- What growth rate do you need to achieve and maintain to reach your Exit Plan valuation?
- What are the tax implications of a business sale?
At Fractional CFO, we help you understand your California exit strategies for monetizing the value you have worked diligently to build:/p>
- Hand the business to the next generation
- Management buy-out
- Third-party sale – financial buyer or strategic buyer
- Employee Stock Ownership Plan
- Private Placement
- Initial Public Offering
Some facts about business exit planning for consideration:
- Only 1.5% of all businesses in the U.S. reach $25 million in sales.
- 50% of all business owners are emotionally but not financially ready to sell.
- 50% of all business owners are within ten years of retirement and most have developed no “Exit Plan”.
- 90% of all businesses listed for sale never sell.
- 75% of all businesses handed down to the next generation fail
Contact us about how our California CFO services can help you plan your exit strategy.