The Wealth Gap (ignored) is a silent killer of dreams. Most business owners are too occupied with the dayto-day and week-to-week needs of the business to fully analyze what it means to successfully walk away
from their business. Without taking the time to analyze what it means to have the business work for the
owner instead of the owner working for the business, owners can end up with fewer options when the day
of exit finally arrives.1
Voluntary exits that are not fully prepared for offer fewer options to owners. True value is derived when
options are not limited. When an owner is fully exhausted and must exit, if the Wealth Gap has not been
eliminated the only dial left to turn is reduction in the owner’s lifestyle.
With proper planning (often with assistance from a certified Exit Planner) a “runway” exists, allowing time
to plan to reduce or eliminate the Wealth Gap altogether. Since the business is typically the largest asset
in the owner’s portfolio, Value Acceleration Methodology is a great way to build value in the business while
simultaneously increasing the owner’s overall assets.
Most businesses have a Value Gap, which will be discussed in a future article.
Similar to the Wealth Gap, the Value Gap is identified. With an emphasis towards best-in-class, the
business sees improvement in not only the bottom line, or net income, but also in valuation multipliers that
buyers may offer. This is the beauty of Value Acceleration Methodology – it is not a linear
relationship; wealth can grow even more rapidly under the right conditions.
For more on the exit planning process, feel free to reach out to StraightForward Financial Insights LLC –
with no obligation – (414) 301-9696 or email Jason@StraightForward.today.
- for Involuntary Exits discussion see www.linkedin.com/pulse/hidden-risks-dont-go-bump-night-jason-j-sellnowcma