As a business owner, have you considered your ‘end game’?

Man standing in his own shop

Why do you own a business?

It’s an interesting question. And sometimes we’re surprised by the number of business owners who haven’t taken the time to consider this fundamental question: why are you in business? What’s your end game?

From a big picture perspective, you could say that having a business provides you with a lifestyle. That’s it!

It gives you cash now to fund your family’s spending, and hopefully a lot of cash in the future when you sell your business.

And it’s very similar to having a Self Managed Super Fund (SMSF), an investment property or share investments. They give you cash either now or in the future, or a combination of now and future.

Your plans for what you will do with your business, SMSF or investment property in the future are what you could call your ‘end game’. And one of the most important pieces of advice I’ve ever heard is this: “the point of having a business is to sell it – even if you don’t want to right now.”

This one pearl of wisdom could mean hundreds of thousands (or maybe millions) of dollars more for you in the future if you let it guide you now.

Plan for selling your business

Even if you think it will be many years into the future, you can still begin to make decisions now about selling your business as you run it from day to day.  And the biggest thing you can do is to make changes so that your business does not depend on you. If your business needs you to operate, it’s going to be difficult for you to sell it.

Setting up systems for your business is the key. You can then train your team to follow your systems, and gradually delegate what you do to the right team members. You’ll find that you’re creating a business that can at least partially run without you.

We’re happy to be your sounding board

As your accountant, we can help you to work out your end game and plan to have a business that you can sell for a much larger amount in the future, because it doesn’t depend on you.

Contact us today by phoning 07 3822 7201 for an initial meeting about creating your end game.

 


 

General advice warning

The advice provided is general advice only as, in preparing it we did not take into account your investment objectives, financial situation or particular needs. Before making an investment decision on the basis of this advice, you should consider how appropriate the advice is to your particular investment needs, and objectives. You should also consider the relevant Product Disclosure Statement before making any decision relating to a financial product.