CEO Tools Blog
Exiting a Family-Owned Business
Recently spoke to a group with a bunch of family-owned businesses about "How to Exit My Business in $tyle" and they asked about specifics for theirs. Here are the recommendations:
Tips for Family-Owned Businesses
1. Get Expert Help Early! Use realistic Valuation.
2. Understand “min acceptable price” by ALL!
3. Agree on “min acceptable price” by ALL!
4. Decide what Each Family Member do AFTER…
5. Decide How To leave a Solid Management…
6. Pick an OUTSIDE Negotiator in Advance.
7. Get Cash Out WAY Early: Invy E&T, A/R Tools.
8. Have a non-varying Family “Party Line.”
9. Do Due Diligence (NO Finger-pointing Ever).
10. Get Ferraris, Boats, Airplanes Off BS 3 Yrs.
11. Use T12M to Up Performance (don’t share).
12. Don’t Get “Cold Feet!”