In our previous article we outlined general steps and benefits to implementing a well-tailored succession plan into your business strategy. The next step in business planning is to develop a bullet-proof plan to ensure your business interests are protected. This is often an overlooked step to many business plans much like succession planning.
There is a myriad of reasons that you will need to rely on an exit strategy including:
· Financial Conflict
· Business Disagreements
· Death of Business Partner
Exit strategies are tailored to each business structure and fact pattern. Compensation structures for buy-outs and stakeholder decisions concerning deaths or resignations are among the factors that should be discussed with a reliable financial business adviser. A sound strategy addresses all the applicable contingency circumstances related to business operations and dynamics. Well-designed exit strategies provide a framework and perspective for the partners of the business by defining clear expectations.
To assist real estate firms in optimizing their exit-strategy planning efforts, Camuso CPA offers a series of strategies to develop and tailor a first-rate exit-strategy plan to your business needs. In addition to an exit-strategy, you should develop a succession plan to further ease any future transitions within your business.