When the mention of selling your business comes up, you might feel a little uneasy about starting the discussion. Your business is your baby, and the thought of letting go can be overwhelming. The truth is; however, failing to plan is a plan to fail when it comes to your business exit strategy. You need to have an exit strategy in place for your business. Everyone thinks of their future, but they don’t always take active steps in the present to prepare for what they want tomorrow. There are many reasons why you should discuss when and how to exit your business. Here are eleven reasons to have the exit conversation now:

1. 11REASONSTO HAVE THE EXIT CONVERSATION
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2. When the mention of selling your business comes up, you
might feel a little uneasy about starting the discussion. Your
business is your baby, and the thought of letting go can be
overwhelming. The truth is; however, failing to plan is a plan
to fail when it comes to your business exit strategy. You need
to have an exit strategy in place for your business. Everyone
thinks of their future, but they don’t always take active steps
in the present to prepare for what they want tomorrow. There
are many reasons why you should discuss when and how to
exit your business. Here are eleven reasons to have the exit
conversation now.
1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N

3. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
This is so true. We cannot anticipate what will happen
unexpectedly. For this reason, you need to have an
emergencyexitplaninplace.Whatwillyoudoifyouhave
something happen that requires you to step down from
your business quickly?
01
ANYTHING CAN
HAPPEN AT ANY TIME

4. FAMILY OBLIGATIONS ARE TAKING
MORE TIME FROM THE BUSINESS
Businessownersrunbusinessesandhavefamiliesallthetime,butdepending
onthesizeofyourbusinessandthesizeofyourfamily,youmayneedtospend
more time away from the business. If you don’t have a team in place that can
run the business without you for a few days, exiting might be your best bet.
If obligations, such as an ill family member, or a lot of educational or
extracurricularcommitmentsforyourchildrenaretakingfromyourtime,you
could experience a negative shift in the dynamic of your business. A strategic
partner can help you free up some time for your family while still allowing
you to take an active part in your business’s growth. This type of partnership
doesn’t require an immediate exit from your business and allows you to
discuss an end-goal for this exit strategy with the partner you join.
1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
02

5. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
Personal health issues are pulling you away from the business. When your personal
health is in decline, it can be difficult to continue running the business. A business
ownerdoesn’tneedtheunduestresscausedbyjugglinganillnessandthecompany
Furthermore, if you find your health declining, or the health of a close loved-one,
your priorities might change. Your view on where your time needs to be spent
might be more focused on your personal relationships versus constantly working
on growing your business.
Again, spending your time away from the business will have a direct negative effect
on your revenue and daily operations. This makes the goal of achieving maximum
value more challenging. Therefore, having an exit plan is essential.
PERSONAL HEALTH
03

6. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
04
YOU DON’T HAVE ANYONE IN
PLACE TO TAKE OVER THE BUSINESS
You’re a great leader, and you run your business like a well-oiled
machine. However, what happens when you’re gone? You need
to have a plan in place. If you find your children aren’t interested
in taking over, or if you don’t have any children, or if you don’t
have a manager in place to take over, you need to know what you
will do when it’s time to leave your business behind.

7. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
YOU ARE GETTING BURNT OUT
Running a business takes a lot of tenacity. The burnt-out feeling
can creep in slowly and take hold in what feels like an instant.
It’s important to balance your work life and home life, and that
takes commitment and fine tuning. You need to set boundaries
to make it work, and if you don’t have a good handle on taking
time for yourself, and you are just barely keeping things afloat,
exiting partially might be a good option to help you get back
time to yourself and still have your business grow.
05

8. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
There’sthisambitiousviewofstartingabusiness.Youthinkyoucanbringa
new concept, service, or brand to the market, and you’re excited and ready
to go. Everything starts strong and innovative ideas are flowing. Then, you
hit a plateau and find yourself working on administrative tasks.
How did you get separated from doing what you love to do? You aren’t
implementing new ideas and performing customer outreach like you used
to.Youdon’thavetimetoresearchyourcompetitorsandbringnewideasto
your business because all your time is tied up in making sure the business
stays where it is and doesn’t fall behind. There are solutions for this.
A financial investor can help with those administrative tasks while you
seek innovation. After all, no one knows your business like you. You can
see where you want it to go, and you are confident you could achieve the
next level success if you only had someone in place to do all the extra
administrative tasks that have begun to fill your time.
06YOU AREN’T DOING WHAT YOU LOVE

9. There are over 70 million baby boomers in the US, and they own
more than 12 million businesses in the US. The sales of these
businesses will saturate the mergers and acquisitions market
in the coming years. More businesses for sale in the market
meansbusinesseswillbesoldforless.Rightnow,it’sthesellers’
market, but in coming years, it will be a buyers’ market. With
morebusinessestochoosefrom,buyerswillbeabletonegotiate
lower prices for the investments they are considering. You don’t
want to lose value because you wait too long. Now is the time
to consider your exit strategy.
THE BABY BOOMERS ARE RETIRING
1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
07

10. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
08
There have been several changes in the market recently.
Unemployment rates are below four percent for the
first time since 2000, and it’s only expected to go down
further. This is great for the workforce, but for business
sales,itmeansanincreaseininterestrates.Therearefour
interest rate hikes estimated to take place over the next
year. Now is the time to take advantage of the current
mergers and acquisitions marketplace.
LOW INTEREST RATES
WON’T LAST FOREVER

11. DRY POWDER IS AT A RECORD HIGH
Reserves in dry powder have peaked, and this means private
equity firms have more cash to spend on transactions. Now
is the time to take advantage of this sum of cash waiting to
be spent. The 2017 tax law created ample opportunity for
investors to explore more options. Let yours be the one they
choose while the market is still hot. If you can show how your
business stands apart from the crowd, you can also negotiate
competitive multiples for the purchase of your business.
1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
09

12. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
10
Your business has grown a great deal, but now you’ve
hit a plateau. How can you continue to experience rapid
growth when you can barely keep up with your business
as it is? It might be time to consider a strategic partner
who can bring in a synergistic platform to help take your
company to the next level and fulfill the vision you have.
GROWING HAS BECOME A CHALLENGE

13. 1 1 R E A S O N S T O S T A R T T H E E X I T C O N V E R S A T I O N
11
Being a business owner takes a lot of time away from other
hobbies, life experiences, and family time too. And now?
You’re at a crossroads. You love your business, but you
love your family, and you want to experience some other
things in life. Retirement isn’t sounding so bad, but you
don’t know how to step away.
EXPERIENCE THE OTHER
LUXURIES LIFE HAS TO OFFER

14. There are a multitude of reasons to begin the exit conversation for your business. This list is far from all inclusive,
but it does illustrate why planning a proper exit strategy is essential as a business owner. The market changes, and it
won’t be at its height forever. Starting the conversation is not a commitment to sell your business. You need to have
a plan in place, and at least, if you start exploring your options, you will learn what choices you have.
If you are interested in exploring your options and better understanding the current state of the market and what’s
expected in the near future, Benchmark International is a mergers and acquisitions firm dedicated to putting our
clients’ needs first. We work to find you the best value for your business, and we don’t settle. We search until you find
a deal that works for you and your business, both financially and culturally.
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