Do I need an exit plan if I’m not planning to sell for years?

Yes. An exit plan isn’t just for the sale itself. It also helps you make better decisions now, around compensation, entity structure, and key-person risk, that make the business more valuable and easier to transition whenever the time comes.

How does exit planning affect my personal retirement plan?

For many business owners, the business is their largest asset. Exit planning connects the value you build in the business to your personal retirement income and estate plan, so a sale or transition supports the life you want afterward.

Small Business Advice & Exit Planning | Feldmeyer Financial Group

Small Business Advice

There’s a difference between working in your business and working on your business. As a business owner, you are asked to be an expert in all areas surrounding your business. What you may need is financial planning guidance tailored to business owners.

Below is our approach that integrates your business plan into your personal financial plan.

Our Approach

Depending on where you are today, our process may include:

Reviewing your business goals and objectives. We start by understanding what you want from the business today and down the road, so your business plan can support your personal financial plan.

A financial assessment of your business. We look at the full financial picture of the business, not just your personal accounts.

Risk management. We help you identify and plan for the risks that could disrupt the business or your income.

Tax reduction strategies. No one likes to pay taxes. We look for ways to reduce the tax impact of running, growing, and eventually transitioning the business.

Compensation and retirement plans. We help you structure compensation and retirement benefits that work for you and your team.

Estate and wealth transfer strategy. We help you plan how the business fits into your estate, whether that’s a future sale, succession, or transfer.

Ongoing implementation. Your business changes, so we revisit the plan regularly to keep it current.

Exit Planning: A Part of the Process, Not a Separate One

For many business owners, the exit is the moment everything else has been building toward, whether that’s a third-party sale, a transition to family, or an internal buyout by employees or partners. We treat exit planning as the natural extension of the approach above: the financial assessment, tax strategy, compensation structure, and estate plan you build along the way are what make a future exit smoother and more valuable, whether that exit is five years out or five months out.

Who This Is For

This specialization is for business owners who want their personal financial plan and their business to work together, whether you’re focused on running and growing the business today, or you’re starting to think seriously about retirement, succession, or a future sale.

Key Takeaways

Running a business touches nearly every part of your personal financial plan, from taxes to retirement to estate planning.

Exit planning works best when it starts years before an actual sale or transition, and builds on the financial and tax strategy already in place.

A sound plan connects today’s decisions, like compensation and risk management, to your long-term exit and estate goals.

Frequently Asked Questions

What does a financial advisor help a business owner with, beyond taxes?

Taxes are one piece. We also work on business goals and objectives, a financial assessment of the business, risk management, compensation and retirement plans, estate and wealth transfer strategy, and ongoing implementation as your business changes.

When should I start exit planning for my business?

Most advisors recommend starting three to five years before your target exit date. Starting early gives you time to address tax exposure, strengthen the business’s financials, and line up the right succession path. It’s never too early, and it’s rarely too late, to begin the conversation.

How does my business financial plan connect with my personal financial plan?

For most business owners, the business is a major part of their personal net worth and income. We build one plan that accounts for both, rather than treating the business and your personal finances as separate conversations.

What’s the difference between exit planning and succession planning?

Succession planning focuses on who will lead or own the business next: family, employees, or a third party. Exit planning is broader. It includes succession, but it also covers the financial and tax strategy behind the transition, and how the proceeds fit into your personal retirement and estate plan.

What if I’m not planning to sell or retire anytime soon?

The rest of our process, like financial assessment, risk management, tax strategy, and compensation, applies whether or not a sale or transition is on the horizon. It also lays the groundwork for an exit plan down the road.

Can you help with family business succession, not just a sale to an outside buyer?

Yes. We work with owners on third-party sales, employee or partner buyouts, and family succession, and help coordinate the financial and tax strategy for whichever path fits your goals.

Schedule a Consultation

Business succession often goes hand in hand with Legacy & Family Wealth Transfer Planning. You can also learn more about our planning approach.

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Please note, the information provided is for informational purposes only and investors should determine for themselves whether a particular service or product is suitable for their investment needs. Please refer to the disclosure and offering documents for further information concerning specific products or services. Investments in securities entail risk and are not suitable for all investors. Past performance is not a guarantee of future returns.

OneSeven does not provide legal, tax, or insurance advice. Any information or commentary provided by OneSeven that touches on legal, tax, or insurance matters is for general informational purposes only.

Clients and prospective clients should consult their own qualified attorney, tax professional, or licensed insurance professional regarding their individual circumstances before making any decisions related to these matters.