How to Build a Small Business Exit Strategy That Sets You Free
Why Your Small Business Exit Strategy Matters
If you’re dreaming of financial freedom, it’s essential to plan your business exit intentionally. You can’t exit your business if it’s drowning in debt, barely profitable, or underpaying you for all the work you do. The good news? You can change that starting today with a small business exit strategy that works.
3 Keys to a Successful Small Business Exit Strategy
To prepare your small business for a successful exit, you need to focus on these three critical areas:
1️⃣ Paying off debt — No buyer will pay top dollar for a business burdened with debt. Buyers want to know they’re purchasing a clean, debt-free asset.
2️⃣ Achieving positive cash flow — Buyers want to see consistent positive cash flow that proves your business is stable and sustainable. A business with positive cash flow pays YOU first, not just leftover expenses.
3️⃣ Paying yourself a fair market wage — If you’re underpaying yourself, it shows buyers that the business can’t sustain its operating costs. Demonstrating that your business can afford to pay its owner a fair wage signals that it’s financially healthy and ready to sell.
When these three elements are in place, you have a business that’s not only profitable but also ready to sell.
The Profit First System for Business Exits
Most bookkeeping services only tell you what happened in the past. But to exit your business, you need to look forward. The Profit First system allows you to plan for profit, pay off debt, and ensure you’re paid properly as the owner. This proactive approach gives you control of your business’s future and positions it as an attractive asset for potential buyers.
Unlike traditional bookkeeping, which looks at past numbers, Profit First helps you take control of future results. It’s about being intentional with your money so you’re not just scraping by—you’re thriving. By focusing on profit first, debt elimination, and fair wages for yourself, you’re not just building a business—you’re building a sellable asset.
Take the Next Step to Build Your Business Exit Strategy
If you’re ready to start your small business exit strategy, download my free tools to get started:
Debt Reduction Tool — Create a plan to eliminate debt faster.
Profit Maximizer Calculator — See how profitable your business can be.
Time is Money Audit — Discover how much your time is costing you and where you can reclaim it.
Don’t wait until you’re ready to sell—start building a business that’s ready to sell now. Get ahead of the game and start your business exit strategy today.
Your future self will thank you.
FAQs About Small Business Exit Strategies
1️⃣ What is a small business exit strategy?
A small business exit strategy is a plan for how you will eventually leave your business—whether by selling it, passing it to a family member, or closing it down. The goal is to create a business that is profitable, sustainable, and ready for a smooth transition.
2️⃣ Why do I need a small business exit strategy?
An exit strategy ensures that you’re not stuck in your business forever. If you want to retire, sell, or transition out of your role, an exit strategy gives you a clear path to do it profitably. Without a strategy, you risk leaving money on the table or being unable to sell your business.
3️⃣ What are the key elements of a small business exit strategy?
The three key elements are:
Paying off debt: No buyer wants a debt-laden business.
Positive cash flow: Buyers look for businesses with stable cash flow.
Owner’s fair market wage: Show that the business can pay its owner properly.
4️⃣ How do I know if my business is ready to sell?
If your business is debt-free, profitable, and paying you a fair wage, you’re on track for a successful exit. If not, download my free Debt Reduction Tool or Profit Maximizer Calculator to get started.
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