Sunday, May 3, 2009

Who to Motivated Entrepreneurs with their businesses?

This Research shows that entrepreneusr leaving their business, but commonly they confuse with this option. Why?
Despite the uncertainty about the exit strategies, 47% in the mid-market business in 55 years and older are interested in selling their business over the next three years, over 90% of them have not started, planning, research, today MidCap Advisors , an investment bank, a market leader in medium-sized enterprises. Approximately 70% of respondents were interested in selling their business to a third, 11% wanted their business-to-family and 9% had an interest in the sale or management of staff.

"It is worrying that most owners prefer to sell to others, but only 10% of planning," said John Poppe, partners and consultants in MidCap Certified Exit Planning Advisor. "The owners of private businesses have several options to help them achieve their goals. Unfortunately, waiting until the last minute to make a decision, many entrepreneurs do not eliminate some of their best chances."

The survey showed that 40% of entrepreneurs said they did not know how and when to exit planning. Over 30% of entrepreneurs said they knew, they should develop a plan to quit, but there was not enough time to do so.

Exit planning is a multidisciplinary process, demand, and all the answers by the company, personnel, legal, tax and financial issues as part of the success of a private exit. Advisor MidCap The survey highlights the importance of synchronizing the efforts of the CPA, lawyers, financial advisers and a ramp to ensure that these issues will be addressed in an integrated and comprehensive fashion. "Everyone in your advisor is a piece of the puzzle. Exit planners and M & A advisor for the coordination process and to play together to develop a comprehensive plan, manage and execute," said John MidCap Poppe. "Launch a dialogue with an investment banker, the output is made in the planning stages. An early dialogue is not an obligation to sell, but it is very important for companies to understand the options you have and what it can and should do, while options are available. "

While many entrepreneurs are very concerned with the investigation shows that the payment of taxes and legal fees in the early concerns of owners leaving. More than 23 percent of entrepreneurs said they felt the tax law, sales were the main factors in the decision to sell. After Poppe, "careful planning of the money can dramaticallly a contractor must pay taxes and legal fees. Income taxes and capital charges are generally higher, if a company with little or no advanced planning."

Entrepreneurs who expect to sell, since many reasons, 50%, with reference to current market conditions, and presents 24% expected profits. "The timing is important," says Poppe. "A good business plan enables the output to understand how and when the time markets by coordinating the work of personal goals, which the company in its life cycle and general market conditions.

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