Exit Blind Spots

Could I have your attention for a moment? I know you’re busy. There are so many daily demands pushing and pulling you in your business and personal life.

That’s why I’m worried about you. Truly - I’m worried because I see women business owners get hustled and hurt every day.

I’ve said it before – and it’s worth repeating – you will exit your business someday, whether it’s voluntary or forced.

So I’m giving you a heads-up on what to avoid…

Today’s BlockbustHER BrainteasHER:

What do you consider your biggest blind spots in crafting an exit?

Patty’s Perspective . . .

It's estimated that only 30% of owners successfully sell their small business, leaving 70% of small businesses without a viable plan for what happens next. Women make up only a small fraction of that 30% who sell.

There are over 13 million women-owned businesses in the U.S., which is 42% of all U.S. businesses. According to a study by Guidant, for women business owners:
 

• 62% cite their business as their primary source of income
• 72% started their business to build wealth
• and 71% want to make a difference

What do these statistics mean for you?

These data points line up precisely with what I’ve experienced in my work. In all the conversations I’ve had with accomplished women, I rarely hear they are dreaming of retiring.

Their dreams are centered around purpose, impact, and legacy. Doing well financially is an important tool to realize that dream but isn’t necessarily the driving force.

But with that said, these are the all-too-common mistakes I see women make in the exit process:

• Waiting too long to prepare: Selling a business is not like selling a house. You can’t stage it in a weekend. Buyers need to see clean books, documented processes, and growth potential.
• Overestimating value: Founders often believe their business is worth more than the market is willing to pay. Without realistic valuation and preparation, disappointment is almost guaranteed.
• Not understanding deal structure: A $2M offer might look generous - until you realize it’s paid over five years, contingent on performance, and subject to taxes. Know the plot, not just the title.
• Poor tax planning: Exiting without tax guidance could cost you 20%-50% of the deal. Smart timing, structure, and use of trusts or gifting strategies can preserve more of your wealth.
• Letting emotions drive decisions: Desperation, burnout, or ego can cloud judgment. A hasty exit often leads to regrets, especially if you haven’t envisioned what’s next.

Having a team of trusted advisors is key to a successful exit, especially when one of those advisors becomes a translator for experts who seem to speak a foreign language filled with acronyms and codes. My knowledge in the field can save you time, money, and angst.

Now What?

My client, Jill, said it best: “I don’t see the way out, but I see the why out.”

Her business is financially solid, she’s built a great team, her clients are grateful, and she’s providing an extremely valuable service. By every indicator, she and her company are successful.

And yet, feeling stuck has become the default mode for her. “I don't think I realized the level of dissatisfaction I was living in and where that was seeping into all areas of my life, until the curtain got pulled back a bit. Because for 99.9% of us, we just keep going and it becomes our next normal.”

She has gotten very clear about why she wants to exit her business - and where there's a why, there's a way…

The exit process is filled with pitfalls and confoundingly complex issues – especially for women, who get hurt and hustled. All. The. Time.

It’s why I do the work I do, helping women achieve an Elegant Exit™, and reach their goals with dignity, grace, and integrity.

As your advocate, by definition, I’m looking out for your best interests. I am not taking a brokerage fee, commission, or equity. I am not motivated by how quickly the exit moves or the final dollar amounts. I want what you want – and will help you get it.

Are you ready to exit your business on your terms?

That requires a new way of thinking, new skills, a simple and elegant design, and an advocate by your side. Contact me to learn more. 

What are your biggest blind spots in crafting an exit? Find out at: http://she-exits.com/