The phrase “burning daylight” brings back images of cowboys on a cattle drive. John Wayne used the phrase in the movie “The Cowboys”, but those words have found their way into a host of more contemporary movies and television shows. The concept is clear - valuable productive daylight hours ought not be wasted.
If you own a business and firmly intend to sell your ownership stake in the next 3 to 5 years, you should look at the next 3 years as the remaining daylight for your business. When the sun goes down and you are actively marketing your company, will your business attract a group of eager buyers looking to acquire a strong, predictable stream of future cash flows? While the sun shines, are you doing everything that can be done to maximize the after-tax value you’ll receive when the sale is closed?
If you are committing to a timeline to exit your business, or you want to be totally prepared to fetch top dollar should you be approached by a qualified buyer or find yourself compelled to sell quickly due to failing health or other unexpected circumstances, don’t be burning valuable daylight! Always remember that the actions you can take to have the greatest impact on value will require far more time to execute than you’d like or expect. If you waste time burning daylight, you are very likely also burning money!
If you fear you may be burning daylight for your business and would like a better idea of the things you’ll need to do to position yourself for a successful exit while the sun is shining, click here to register for a free Exit Planning Checkup from LEVEL Management Partners. The evaluation looks at the 31 most important factors determining your personal and business readiness for a successful exit, and provides actionable recommendations to help you start preparing today.
Don’t be one of those people who wish they had started preparing for their business transition years earlier. Make the most of the daylight you have available!