When I began my entrepreneurial journey, selling my business was the last thing on my mind. However, as time passed, I understood the importance of an exit strategy for ensuring sustainability and success. Here’s my story.
The Initial Phase: Starting and Growing
As a serial entrepreneur, nothing thrills me more than starting and growing a business. The satisfaction that comes from seeing an idea transform into a thriving enterprise is unparalleled. However, like many entrepreneurs, I was caught in a cycle of creating a business, nurturing it to success, and then losing interest when things became mundane.
The Problem: The Fading Passion
The pattern was clear. I’d be all in during the early days, driven by excitement and passion. However, as the years passed, the repetitive, managerial aspects would kick in, leading to a gradual decline in enthusiasm. As my interest waned, the business would suffer, eventually prompting me to move on to another venture. This cycle was exhausting, and I knew something had to change.
The Revelation: There’s More Than One Way Out
It was during a funding round in 2020 that I had an epiphany. While discussing my plans to take my business global with potential investors, I was repeatedly asked, “What’s your exit strategy?” To my surprise, I didn’t have one.
For a long time, I had the misconception that no one would be interested in acquiring my business. Why? Because I considered my business as “boring.” However, as I soon learned, stable and straightforward businesses are precisely what investors seek: low-risk, easy-to-manage entities that promise consistent returns.
Shifting Perspective: From Entrepreneur to Investor
Those pivotal conversations in 2020 marked a turning point in my entrepreneurial journey. They shifted my mindset from viewing myself as a business owner to an investor. I realized that not only was I the main investor in my business, but my business was also a valuable asset. The transformation in my mindset was profound. I transitioned from “I am my business” to “I own this asset”, recognizing my venture as a distinct asset, separate from my identity. If you want to know how sellable your business is, here’s a free assessment tool.
The Takeaway
Every entrepreneur should have an exit strategy. Whether it’s a sale, a merger, or a succession plan, understanding your endgame can provide direction, offer motivation, and, most importantly, ensure you maximize your returns.
If you’re an entrepreneur with a business generating over 2M in annual revenue and haven’t yet considered an exit strategy, it’s time to start. After all, being prepared for the end often means making the most of the journey.
To a brighter, freer entrepreneurial future!
Lien
