Start with your personal goals
Every business exit begins with your personal why? Without clarity on what you want your future to look like, it’s easy to get lost in the details or accept an outcome that doesn’t really serve you.
Ask yourself, do I want to retire completely, or stay involved as an adviser or part-owner? How much income will I need each year to live the lifestyle I want? What role does my family, whānau, or iwi play in succession, and do I want them directly involved in deciding?
Action items to make progress
- Write down your top three personal goals for the next five to ten years.
- Calculate your retirement number. Use online retirement calculators or talk to a financial adviser to estimate how much you’ll need to live comfortably, then compare that to the likely proceeds of selling your business.
- Get a professional valuation to give you a reality check on what your business might fetch in today’s market. Many owners are surprised by the gap between expectations and valuation.
- Talk with investment experts. If your exit is likely to generate a lump sum, you’ll want advice on how to protect and grow it for the long term.
- Discuss your goals with trusted people. Involve your partner, children, or close advisers early so they understand your priorities and can help you plan.
Clarity on your personal goals shapes every decision that follows. For example, if your priority is passing the business on to family, you may accept a lower immediate payout but build in mentoring and a staged transition. If your goal is maximising retirement funds, you may focus on timing the market and streamlining operations to lift value before selling.
By starting with your goals first, you ensure the exit strategy is built around your life, not the other way around.
Timing makes a difference
The market plays a major role in how smoothly you can step away. Even the best-run businesses may struggle to sell if the sector is quiet. On the other hand, strong buyer interest can improve your outcome. You probably can’t control the wider economy, but you can control when you make your business sale-ready. Preparing early means you’re in a strong position to move when the market is right.
Put systems in place
One of the most common obstacles to selling is when too much knowledge lives inside the owner’s head. Buyers need to know the business can run without you.
Practical steps include:
- Automating routine tasks and setting up performance dashboards.
- Writing down key processes, contacts, and decision points.
- Creating clear Standard Operating Procedures (SOPs) so anyone can step in.
- Reviewing supplier and partner contracts to make sure they’re current, transferable, and not due to expire soon.
These steps not only make your business easier to sell but also strengthen its resilience while you still own it.
Test your business without you
A smart way to prepare is to “stress test” your business.
- Run a mock sale with a broker to get feedback on value and areas to improve.
- Step away for a week and see how the business performs without you. Take note of where things break down and fix them.
- Play out ‘what if’ scenarios: what happens if you get sick, or if a competitor opens nearby?
Planning for the unexpected gives you peace of mind now and makes your exit plan stronger
Involve the right people early
Planning your exit is not something to do in isolation. You’ll need advice from trusted experts and support from those closest to you.
- Family and iwi to make sure those who rely on you understand your plans.
- Key employees, as early conversations can help keep morale strong and identify potential successors.
- Advisers such as your lawyer, accountant, and banker to guide you through legal, tax, and financial considerations.
Treat your exit like a project and set aside regular time, build a timeline, and involve the right people at each stage
Common mistakes to avoid
Many business owners leave their exit too late or assume they can figure it out as they go. Here are three pitfalls to avoid:
- Waiting for the perfect time as markets rise and fall. Focus on making your business strong and sale-ready rather than chasing the perfect window.
- Not involving experts soon enough as compliance issues can take months to resolve. Early advice prevents last-minute surprises.
- Over-valuing your business as sentimental value is often different from market value. An independent valuation keeps expectations realistic.
How ASB can help
Whether you're building long-term savings, diversifying your portfolio, or seeking flexible investment opportunities, our tools and expertise can help you grow and manage your wealth.
- Connect to our experts to keep you up to date with market commentary, value-packed insights and the latest news impacting your investment inside the ASB Investor Hub.
- Whether you're new to share trading or an experienced investor, ASB Securities could be right for you.
- Grow your money over the long-term with our range of Investment Funds. With no minimum investment needed, start contributing as much and often as you like.
Planning early gives you more choice and better outcomes. We’re here to support you every step of the way.
Next steps
If you’re considering stepping away from your business:
- Block out time each week to work on your exit plan.
- Get a professional valuation to set realistic expectations.
- Involve your family, employees, and advisers early.
- Put systems in place so your business can run without you.
- Talk to your us about financial planning for life after business.
Your business is the result of years of hard work. With the right preparation, you’ll be able to exit on your own terms, confident that your legacy, your team, and your financial future are secure.
