Exitology: Unlock Your Profits, Unlock Your Potential

“There are so many unsung heroes of the world who are running businesses every single day.” In the late 2000s, there were no documented processes around exit planning. With roots in accounting and many advisors focusing on financial planning, there wasn’t a focus purely on exit and succession planning. As an early adopter, Dr. Craig West traveled to the US To obtain his Certified Exit Planning Adv...

“When we plant a rose seed in the earth, we notice that it is small, but we do not criticize it as “rootless and stemless.” We treat it as a seed, giving it the water and nourishment required of a seed. - Timothy Gallwey A Coach treats you as an expert in whatever manner you need support and uses questions to draw out answers. A Consultant is a subject matter expertise that tells people what to do...

“Band-aids don’t fix bullet holes.” - Taylor Swift In business, we always think we are one tool from solving all the problems in our business. The Root - what is it that gets in my way?  If there is anything in your business that you rate low, watch your mental resistance. Someone describes a problem, leaders tend to try to fix it immediately. If you don’t address your true obstacle, no amount of...

“Instead of playing to win, I played not to lose in relationships and it caused me early on in my career.” The most important thing to build stronger relationships is to be the kind of person that people want to be in relationships with. You have to give people a little bit of who you are to create a common ground. Look within.  An enneagram test helps confirm your personality attributes. Talk abo...

“That you are the cause of everything in your life is a place to stand from which to view and deal with life – a place that exists solely as a matter of your choice. The stand that one is cause in the matter is a declaration, not an assertion of fact.” - Werner Erhard. Be the person and the catalyst to change the things that you don’t enjoy in your work. When a leader feels powerless, they are no...

“Prepare for the Journey” 38 turnarounds with 28 succeeded under Rex Wisehart’s belt. Grow, maximize and help the owner craft their perfect exit.  Don’t try to sell a company without preparing it for sale. Know it will be a multi year (3-5 minimum) process Hire professional to help you sell Transferrable value metrics Exit planning - start looking for your next act and your purpose to contribute....

“Never eat alone” - build a network! Any company that grows, needs 3 types of people - visionary and rainmakers and baggage handlers. Be cautious if the founder thinks the company can be a lone wolf. Don’t make a contact so complicated that you cannot perform on it. Startup founders are often blindsided by bad contracts. Client Concentration Risk - don’t let any customer have too much of your pie...

What is the biggest mistake in startups? Wrong teams You need people with different mindsets and different skill sets. You want the opposite of your clone.  For Startup partners, if you don’t build the foundation correctly you are going to collapse.   For Startup employees, hire anyone who is willing to work the hours for you. “Hire fast and fire fast.” Explore the Small Business Innovation Resear...

“Constraints create creativity.” At age 23 , Rex Wisehart decided to not have any more jobs and fell into the turnaround business. Acquiring 29 employees and never being a boss of anything in his life before, he tried to figure out how the business got into this much trouble. Fired 20 of 29 people who worked there. The first time I’ve ever fired anyone in my life and still the hardest business day...

“Valuation is literally a measuring stick.” Use valuation partners to maximize the value of your business and maximize your exit. Valuation is a practice/process something you do on a regular basis. Quist Valuation - Break down the business owner journey in 4 phases. Valuation is part of your entire business plan and business cycle. One of the goals of a valuation advisor is to be educational and...

Transferable value metric is your most important number. Explore the growth and value drivers to focus on for transferable value. What are the biggest themes that drive or detract value from your business? Learn signs and ways to manage customer concentration risk. Systems and repeatable, documented processes are important for transferable value regardless of the business size. How is your managem...

Gold Millers - let’s not work hard, let’s work smarter and create value for everyone we touch. Obtain a business valuation as part of your regular strategic planning process. Transferable value is that part of your business, soft assets, (value of customer base, employees, systems, processes, culture) that are not easily quantified. Have an annual assessment, take high driving value opportunities,...

“Valuation is not an event, it’s a practice/process.” Quist Valuation, established in 1984, performing valuations for 40 years. First focusing on compliance events and evolving into tactical financial reporting. Quist Insights an ongoing self assessment for business owners. Learning center and knowledge base for clients to understand:  What do the numbers mean for me and what do I do next? How muc...

“At the end of the day, the number one thing we all want is a better outcome for owners.” Business owner readiness surveys can trigger some honest self reflection of business owners. “72% of business owners in Colorado are waking up every day without a purpose in life.” What is a Strategist Offering? Understand what your business looks like as part of your overall wealth.  Exitology can then help...

“ This journey is hard.” Owners feel remorse 12-24 months after the sale due the psychological impacts of the sales. Understanding the away from mindset vs. toward mindset. Evaluate options to diversify your income and replace your income. (real estate, trust deeds, private credit funds). Many owners run personal expenses through their business.  Do you have an accurate picture of what your lifest...

 “The investment is an execution to a bigger goal.” What are the mile markers in life for success that are success for you? We are either working towards something or moving away from something. Triage for burnout business owners  Transparency = exit planning moves people through the value acceleration process. Knowledge is power.  Know your options vs. denial. Exit planning = have a journey with...

“Why does wealth matter?” Wealth goes into our relationships, goes into our time but you must be intentional about your values. It's a good exercise to step back, write down and think about your dreams irrespective of where you are in life. Ask your clients and owners, “what perspective are we missing as outside advisors that you would like us to have?” Walk a mile in your customer's shoes. Joe Se...

#1 mistake is understanding if the inside person wants the business (employee / family member). It takes longer to transition to an inside person than an outside person.   Explore the owner vs. employee mindset. Entrepreneurs may give the company away before the person is ready to take it over. Scaling to create a business vs. creating a lifestyle business exit planning. Build your business to sel...

“Up to 70% of your management team is gone after the exit.” “The 2 biggest lies in business is that the check is in the mail and that nothing will change after the merger.” How is your management team incentivized to sell your company? What are the key metrics for management?  What is a stay bonus plan?  Entrepreneur prep work to grow to exit and sell the business is a top down approach. Develop a...

“90% of businesses won’t sell because they haven’t built the business to sell.” Think of your business as an investor. Every investor or entrepreneur should have an exit planning coach. Begin with the end in mind. Strategic buyers will pay more than private equity (PE) investors. Who is the strategic buyer?  someone who wants to get you out of the business. someone who wants to get into a new mark...

“Entrepreneurs are the backbone of society.” A problem can be solved for value exchange. Explore 3 main things that buyers look for    To own a business with an incentivized management team that runs your day to day. A business with financials in order A growing business throughout the process Ellen Long | Exit Planner | Long Business Advisors, LLC www.longbusinessadvisors.com #exitplanning #entre...

Emotions are a root to your unconscious knowledge and that’s the place to have that data. What does it mean to be in touch with your emotions, your body and the rationale? Reference Lisa Feldman Barrett book, How Emotions are Made: The Secret Life of the Brain Movement of emotions or energy in the body helps you become aware of other data going on.  Your emotional reactions are always your respons...

It is very hard for any of us to step into shoes that we feel are really big for us. Characteristics of people who are in Engineering fields Behaviors - where do I stand and who is trying to threaten my status here? As a leader, you can’t grow your team any higher than your own maximum level of personal growth. Explore the boundaries of leadership Leah Zimmerman, https://steppingstoolcoaching.com/...

Who’s Afraid of Virginia Woolf? The conversation is the relationship.  Conversations are the connection. Family businesses in particular need an outside perspective. Reflect on conversations. Somebody has to get to the place where they say “I want something to change.” Reference Tom Hubler’s book  The Soul of the Family Business Leah Zimmerman, https://steppingstoolcoaching.com/ #ExitPlanning #Exi...

There are a lot of difficult conversations that frankly people don’t know how to have. Building a business is to provide but what happens when it also becomes the identity. Decentralizing (succession planning) techniques to follow. Ask yourself, what does it mean to build this legacy? Ask questions that show you really care, show appreciation, honor the human element under the drive. Leah Zimmerma...