ServicesExit Planning
Exit Planning in Liberty Hill
Most business owners start thinking about an exit when they are tired or a buyer calls out of the blue. We help you start earlier. We find what would lower your price, set a timeline, and work through each item while you still control the schedule.
What exit planning is and when it makes sense
Exit planning is the work done one to three years before a sale, transfer or retirement. It answers three questions. What is the business worth today? What would a buyer discount it for? What can change before you go to market? The answers come from your tax returns, profit and loss statements, leases, contracts and the way the business actually runs day to day.
It is the right call if you expect to step away within a few years, if one customer or one employee carries too much of your revenue, or if your books mix personal and business expenses. Those issues take months to correct. Buyers and their lenders will find them in diligence, so it pays to find them first.
When you are ready to go to market, the plan feeds directly into our Sell a Business work, or into Partner Buyouts and Succession if the business is staying in the family or going to a co-owner.
What our exit planning covers
- 01
Baseline valuation
We start with a free, confidential valuation built on your seller's discretionary earnings. That number is the benchmark every later change gets measured against.
- 02
Recast financials
We go line by line through three years of statements and separate true operating costs from owner perks, one-time expenses and personal items. Each add-back gets documented so a buyer's accountant can verify it, not just take your word for it.
- 03
Owner dependence review
If you hold the key supplier relationships, quote every job or are the only person on staff with the credential the work requires, a buyer sees risk. We list where the business relies on you and lay out how to move those duties to employees or written procedures.
- 04
Concentration and contract check
A single customer above roughly a fifth of revenue, or month-to-month agreements with your best accounts, will draw questions. We flag them and look at ways to spread the risk or put terms in writing.
- 05
Lease and asset readiness
We read your lease for assignment clauses and remaining term, since a lender usually wants the lease to run at least as long as the loan. We also note aging equipment a buyer will price into the offer.
- 06
Written timeline
You get a plain list of tasks in order, each with a target date, so the work fits around running the business.
Questions about Exit Planning?
Call(512) 982-9404When an exit plan is worth starting now
Retirement is a few years off
A five-year horizon feels roomy. In practice, cleaning up the books and handing customer relationships to staff can take up half of that time.
Your tax returns show little profit
Many owners minimize taxable income on purpose. Buyers and SBA lenders value what the returns support, so low reported earnings mean a low price unless the add-backs are well documented.
Nobody else can run a full week
If the business stalls when you take a vacation, a buyer will either lower the offer or ask you to stay on for a long transition.
A partner is talking about leaving
A co-owner's exit without a funded buy-sell agreement can force a rushed sale. Planning sets the terms while everyone is still on good terms.
An unsolicited offer arrived
Without a baseline valuation you cannot tell whether the number is fair. We help you judge it against real data.
How the planning process runs
- 1
Confidential consultation
We talk at our office or by phone or video about your goals, timing and what you need from the sale. Nothing is shared with employees, vendors or buyers.
- 2
Document review
You send three years of returns and statements, your lease, major contracts and an equipment list. We build the recast and the baseline valuation from those records.
- 3
Findings and priorities
We walk you through what raises value, what lowers it and which items are worth the effort. Some fixes take a phone call. Others, like training a manager, take a year.
- 4
Check-ins until launch
We revisit the numbers as changes take hold and update the valuation. When the business is ready, we move into marketing it or arranging the internal transfer.
What shapes the scope of exit planning
Your first consultation and the valuation are free. How much work the plan needs after that depends on the condition of the business, not a set package. Listing your business with us costs nothing up front. There is no retainer and nothing tucked into the fine print, and our fee comes out of a closed sale, so we are paid only once you are.
- Condition of the books
- Clean, accountant-prepared statements need little work. Commingled personal expenses or cash-basis records that do not match the returns take longer to rebuild.
- Number of owners
- Two or three partners with different goals and timelines add buy-sell terms and more conversations to the plan.
- Real estate in the deal
- If you own the building, we plan the property and business sale together, which our Business and Property Sales page covers in more detail.
- Length of runway
- A three-year runway allows gradual changes. A twelve-month window means fewer fixes and harder choices about which ones matter most.
Exit planning questions
How early should I start planning my exit?
Two to three years before you want to leave is a comfortable window. That covers the three years of financials a buyer will review and gives time to transfer key relationships. Starting later still helps; you just pick fewer battles.
Do I have to commit to selling if I start a plan?
No. Many owners use the plan to run a stronger business and decide later. The valuation and the task list are useful either way.
Will my employees or customers find out?
Not from us. Everything we do in planning stays confidential, and we can meet by phone or video if you would rather not be seen coming to our office. Telling key staff, and when, is part of the plan and stays your decision.
Does this replace my CPA or attorney?
No. We work alongside them. Your CPA advises on tax structure, such as an asset sale versus a stock sale, and your attorney handles agreements. We focus on value, buyers, market timing and deal terms.
What if I want to sell to a family member or employee?
The same groundwork applies, with added attention to financing, since insiders often need a seller note or outside lending. Our Partner Buyouts and Succession and Acquisition Financing Guidance services pick up from there.
Start your exit plan while time is on your side
A short conversation tells you where the business stands and what to work on first. Owners across Liberty Hill, Leander and Georgetown use that first call to set a realistic timeline.