- I intend to hold on to my business until it reaches a value that I am comfortable making a sale at. This could be anywhere from 5-10 years down the line. If I received an offer that I could see myself comfortably living and further investing off of, then I would gladly take the offer.
2. Why?
- I have selected this particular exit strategy, because the business does not revolve around something that I am extremely passionate about. Furthermore, I don't think turning it into a family heirloom would suffice for my children either, because not many people out there are devoted to doing chores.
3. How?
- My exit strategy has influenced my promotion and advertising tactics, because I want to achieve the highest rate of growth as possible. Me knowing that I don't want this venture to be passed on to my kids causes me to aggressively advertise in order to yield the optimal amount of exposure as well as word-of-mouth. Finally, it has increased my overall use of resources, because I don't want to be stuck "scraping by" years down the line.
Great post Blake! I think you did a great job outlining what your exit strategy would be from your business venture. I think that it is smart to hold on to your business until it reaches a certain value, I would feel the same way about any business venture I start. I think its important with any business to try and achieve the highest growth possible.
ReplyDeleteHi Blake! You have a great exit strategy and are able to have a good idea of what you want to get from your business and know when to walk away. I also think it is always important to be as passionate as possible with your business because I believe if you aren’t passionate it will show in the products. If you aren’t in love with your products, it is likely others won’t be too.
ReplyDeleteHi Blake,
ReplyDeleteI like your mindset of keeping the business until it has reached the level of success you envisioned. I think this is a great way to think about your business as it will constantly motivate you to work harder and smarter on your venture. I as well would sell my business in the near future for the right price. Similarly to you, my passions do not really reflect my business venture currently but I would love to open a future business that lines up with some of my passions.
Blake,
ReplyDeleteSo, if you aren't passionate about the business, why hold onto it for 5-10 years? That's a really long time! This is my opinion, but if I were you, I'd do exactly as you said, market the heck out of the product but then sell it for whatever it's worth after a year or two. Who cares if you don't make your millions off of this product!? Even a couple hundred thousand (or even just one) can be enough to fund your next great business idea. Instead of spending soooo much time trying to squeeze the max dollar amount out of a potential buyer for a business you aren't super attached to, I'd try to find someone who can buy you out for a somewhat reasonable sum at a very early date.