When Is the Right Time to Start Planning Your Business Exit?

The truth is simple: every business owner will eventually leave their business—either by choice or by circumstance. The question is whether that exit will be intentional and profitable, or forced and stressful.

Stephen Covey said it best: “Begin with the end in mind.” Even if you plan to work for another 20 years, the best time to start thinking about your exit is now. A well-run business is built not only for today’s success, but for tomorrow’s transition.

Your Exit Is a Process, Not a Moment

Many owners assume they can wait until they’re “ready” to sell or retire. In reality, meaningful exits take time—often far more than expected. A strong exit typically includes:

1. Creating a plan (3–12 months)
This defines your goals, timeline, and ideal outcome. It helps you understand what your business is worth today and what it needs to be worth when you exit.

2. Closing the value gap (5–10 years)
Most owners discover there’s a gap between what they want their business to be worth and what it is worth today. Growing value requires a clear, written growth plan and disciplined execution.

3. Tax planning (3–10 years)
Without planning, taxes can take a major bite out of your exit. With the right strategies, you can reduce taxes on both your sale and your ongoing income.

4. Transferring ownership (1–10 years)
A rushed sale—especially one based on promises instead of preparation—can put your entire future at risk. Successful exits usually involve a phased, well-structured transition that protects both the owner and the business.

Take Control of Your Future

Your exit should not be something that happens to you—it should be something you design. With the right planning, your business can provide financial security, freedom, and peace of mind for you and your family.

The best time to start is long before you think you’re ready.