In this episode of the Main Street Business Podcast, Mark J. Kohler explains how to successfully transition out of your business while maximizing value. From setting up a seamless family succession plan to making your business more appealing for a third-party sale, he shares practical steps to ensure a smooth and profitable exit. Tune in for expert strategies that will help you plan your next move with confidence!
Here are some of the highlights:
- Mark outlines four strategies that wealthy individuals use when exiting their businesses.
- Emphasizes the importance of deciding who will buy the business, whether it's family or a third party.
- The complexities of family succession, including the need for succession planning and business consultants.
- Introduction to the concept of systemization, developing people, and understanding EBITDA for third-party sales.
- Real-world examples of clients who initially wanted to sell but later decided against it due to the success of their systemized business.
- The potential for staying on with the new buyer for a transition period, which could increase the sale price.
- Mark urges caution when considering elaborate tax structures and emphasizes the need for second and third opinions.
- Mark warns against high-risk, high-cost tax strategies and the potential for IRS audit risks.
