Exit Planning

Harvesting the wealth created in a private company can be one of the most daunting tasks an entrepreneur will face in their lifetime. All business owners have unique circumstances that affect the process through which they will exit their business.

There are four ways to plan for and achieve a successful exit:

  1. Address strategic business issues that recognize the existing state of the business, dependence on key customers and management and industry conditions.
  2. Assess the owner’s financial situation considering reliance on income from the business and as overall diversification of wealth.  An owner’s business is often their largest asset and primary source of income as well as their most risky and illiquid investment.
  3. Consider the owner’s professional or career goals. Some may seek full retirement; others may remain active participants in the business.
  4. Review personal issues specific to each individual business owner such as age, health conditions, and generational transfer of control to family, long-time employees, or third parties.

VRC can assess the business, determine a valuation and highlight changes that may result in increases in value. Once a buyer is identified we can help assess deal offers. VRC also often provides a fairness opinion on the transaction.

Legacy is an important consideration for business owners and company stakeholders.

Succession Planning

Determining when and how to smoothly transition ownership in a company to family or employees is vital to the continued success of the business and retention of wealth the business creates.

VRC works closely with clients and their advisors to make the process of transition as effortless as possible.  We assist with planning and valuations for the following transition scenarios: