EXIT STRATEGIES

A. WHY SELL

  1. Retirement
  2. Cash-out
  3. Resources
    1. Expand
    2. Stay Competitive
    3. Next Level
  4. Transfer Risk
  5. Timing
    1. Growth Cycle
    2. Economy
    3. Personal

B. PRE-SALE PREPARATIONS

  1. Financials
  2. Ownership/Structure
  3. Third Party Agreements
  4. Lock-up Key Talent
    1. Phantom Stock
    2. Equity
    3. Incentivize to Stay
  5. Records

C. EXTERNAL SALE

  1. Valuation
  2. "Script"
    1. Cash
    2. Public Shares
    3. Private Shares
  3. Tax Considerations
  4. Earn-outs
    1. Goals
    2. Control
  5. Merger/Minority Sale
  6. Finding a Buyer
  7. Logistics

D. INTERNAL SALE

  1. Actual Buy-out
  2. Sweat Equity
  3. ESOP
  4. Consulting Arrangements
  5. Employment Arrangements