Retirement is probably the main reason for selling. You’ve worked hard building your business, now is the time to enjoy the rewards while you’re young enough to do so. The benefit in selling for retirement is that there’s usually plenty of time to research buyers or prospective partners planning the right exit strategy for you.

Unfortunately, the demands of running your own business means that planning an exit gets pushed far down the list of priorities. When the time is right to slow down and take the steps towards retirement if there is no one suitable, or willing to take over from you at the helm, then the most obvious option is to sell either part of or all of your business.

If there is a right person this can be a major factor deciding when is the right time to sell. But you need to be ready to leave and whoever is taking over must also be ready and have the funds to buy you out.
The Flowmax approach can enable your successor to become a shareholder, support them in that role and esure provide the capital so you get the right value for your shares.

Naturally, a change in personal circumstances will impact our motivations, priorities and financial positions. Some of these can be planned for, like your children leaving home but others like a serious illness or divorce can have an impact on your business. In the case of divorce, often a valuation for the business is required so that a clean break or final settlement can be agreed.

Sadly, there may be a time when your health simply does not allow you to continue running your business. Many small businesses can put success down to the hard work and dedication of the owner. Once the owner cannot continue taking an active role the business may suffer. Time is therefore of the essence if ill health forces a sale.

Flowmax can step into release capital from the business when you need it and enable you to continue in your role as a minority owner or gently exit, retaining your team and providing continuity and support.

Have you taken the business as far as you can? Sometimes a business can grow to such a level that the founders of the company feel they can do no more with it. The skills which helped grow your business from concept to employing five or ten people may not be those needed to take it to 20 or 50.

For a particularly successful business to continue to thrive, it may need to become part of a bigger group with more resources. Read more about the Critical events in the lifecycle of an SME here.

Finding someone who has the right skills to build a successful team, introduce systems and processes, who has a track record of growth and has the capital behind them to invest when needed is important. Finding the right partner also requires finding someone whose values, goals, and culture align with your own and could be the best move you could make for growth.

Flowmax is experienced working with different owners and different business cultures and supporting company transitions at key growth stages.

Once a business has reached a value to support a future lifestyle, you may wish to cash in and take the money if your business is successful and has a healthy valuation.

This doesn’t have to mean selling everything and walking away. It might be that you just want to take some cash but still see yourself as having a lot to give.

Flowmax has experience working with entrepreneurs and owner managers in many stages of their business journey. Contact us and we can talk through your own position and goals.