When we talk to you, one of the first things we’ll do is discuss the potential internal exit strategies available to you, before looking at external options.
Your existing team know you, the business and the clients. You know them too, which can mean your management team are the perfect people to buy you out. This can lead to a smooth transition and very little disruption for clients or your wider team.
It can sometimes be hard for management teams to raise the capital necessary to buy out the current owner, which means some creativity might be needed. But when it comes to this type of buyout, many owners are happy to have payments staggered over a longer period, especially when they consider their business and legacy may remain intact post-sale.
Sadly, management buyouts are not always an option. Most advice/planning businesses are small and perhaps don’t have the leadership team in place with the skill set to run a business. The requirement for debentures or personal guarantees can also be off-putting for management teams.