When should I think about an exit?

When should I think about an exit?

For many founders, the Exit The big goal is to sell the company, dispose of shares or float it on the stock exchange. However, the right time to sell a company or shares needs to be carefully considered. Selling too early or unprepared can reduce opportunities and profits - leaving it too late can increase the risk.

1 What is an exit?

An exit is the sale or transfer of a company or company shares. Typical forms:

2. signals that an exit could make sense

a) The company has exhausted its growth potential

    • Stagnating sales and market share
    • New investments only offer limited opportunities

b) Strategic offers from third parties

    • Competitors or investors show interest
    • There is one financially attractive deal that is hard to refuse

c) Personal goals and resources

    • Founders want to dedicate themselves to new projects
    • Burnout or scarcity of resources in the team

d) Financial reasons

    • High debt or financing requirements that can be covered more easily by external partners
    • Desire for liquidity for personal or business purposes

3. factors for the right exit time

    • Market conditions: Stock market, sector development, competition
    • Company valuation: The company should be strong enough to realise a good price
    • Team and structures: It is easier to sell a company if it is managed professionally and processes are established
    • Customer and sales basis: A stable customer base and recurring sales increase the value

4. preparation for the exit

    • Clean preparation of finances: Properly document balance sheets, contracts and tax documents
    • Check the legal basis: Clearly regulate partnership agreements, property rights, patents and licences
    • Professional advice: Involve lawyers, tax consultants and M&A experts
    • Communication: Inform stakeholders at an early stage - team, investors, customers
Are you ready for the exit?  Download our checklist and prepare your exit step by step!

Conclusion

An exit makes sense if financial, strategic or personal reasons come together, and the company is strong enough to realise maximum value. A well-prepared sale creates opportunities for new projects and financial security for founders, team and investors.

Tip: Consider early on which Strategies for your start-up, even if a sale is not currently planned. A clear company sales strategy can facilitate growth decisions and increase the value of your company.