Whether or not you’re intending to sell your automotive business in the near future, it’s important to have an exit plan in place. Having an exit plan gives your business a cushion should anything unanticipated arise and gives you active control over your business goals rather than a passive day-by-day plan.
If this isn’t enough to convince you, here are some more reasons it’s important to have an exit plan in place sooner rather than later:
- It provides solutions and action steps customized to your business’s goals.
- It focuses on potential value-builders in your business that buyers and successors need for a successful future.
- It’s a place to benchmark changes in the value of your business, team performance, and other important factors.
- It provides the next business owner with time-sensitive accountability steps so your business can stay successful.
- It prepares you and your automotive business for a successful future.
An exit plan can come in handy no matter where you are in the process of selling your business. Take a look at some more concrete ways it can help you out:
- They help in an over-saturated market: The population of Baby Boomers are reaching (and passing) retirement age, meaning that a spike in businesses for sale could be in the near future. By having an exit plan, you’ll be able to create some leverage for yourself because you’ll have concrete goals and plans for how you want your automotive business to sell.
Keep in mind, though, that the population of business buyers may not be as big as the population of sellers. With an exit plan, you’ll be able to lay out your bottom line exit plan ahead of time rather than on the fly.
- They provide your business with a competitive advantage: Businesses don’t always sell during boom times because of the saturated market. But with an exit plan, you’ll be able to pitch future values and successes to potential buyers because you’ll already have the information ready and at hand.
- With an exit plan, you’re in control: Knowing the potential of your automotive business gives you a lot of power. Being aware of this potential allows you to have full control over who you want to sell it to when you’re ready. Having this control in your exit plan lets you to have a say in the future of your business – ultimately preserving its value for future employees and owners.
Ultimately, putting together an exit plan gives you an opportunity to work on your automotive business, not just in it. We know it takes some time to decide just what you want your plan to look like, which is why we have professional business brokers at AutoCenter Sales who can help. Contact us today so you can make the most thought out decisions about your exit plan.