grooming for exit, part 4
DESCRIPTION
How to implement the grooming process to ensure a successful exit?TRANSCRIPT
The Rudder Group Growth Strategies & Mentor Capital
GROOMING FOR EXIT
PART 4
STAGE 3: IMPLEMENTATION
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
GROOMING FOR EXIT
This presentation is designed to help shareholders add
value to business through a structured grooming process,
gauge the right time to consider an exit, identify most
appropriate exit route, and ensure they achieve best deal
for themselves, their staff, and company itself.
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
THREE COMMON STAGES OF THE GROOMING PROCESS
• Complete an initial business diagnostic Now
• Agree on the ultimate objectives What
• Implement plan to make things happen How
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
STAGE 3: HOW?
A RIGOROUS APPROACH MUST BE APPLIED TO ENSURE THAT THE MOMENTUM BEHIND THE BUSINESS IMPROVEMENT IS MAINTAINED THROUGH AND AFTER THE SALE
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
STAGE 3: IMPLEMENTATION PROCESS
• Change management process is in place (vision, plan and desire to implement)
• Not seen as a “one-off” fix but continual improvement
• Focused on exit
• Priorities addressed in context of a changing market environment – through “value drivers” principles
• There is ownership and accountability for the action plan with proper motivation to succeed
• Personal exit aspirations of shareholders balanced with the needs of the business to continue to develop
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
Commit to a rigorous follow-up process to ensure actions are
successfully implemented
Use an external facilitator to maintain
momentum when necessary
STAGE 3: WORKING IN PARTNERSHIP TO BUILD VALUE
Find leaders with previous hands-
on experience and credibility
“Rent” talent if hiring experts is
not an option
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
GROOMING: BEING READY TO TAKE ADVANTAGE
WITH GROOMING, THE COMPANY WILL BE READY TO TAKE ADVANTAGE OF THE
RIGHT OPPORTUNITIES AT THE RIGHT TIME
• The business is performing well
• There is a paper trail to document performance
• There is no significant outstanding litigation or other serious legal issues
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
SUMMARY
• Grooming a business for a potential sale is an iterative process that should be part of your ongoing strategy
• Ensure you Groom far in advance so it does not become obvious to anyone the business will be for sale
• Grooming is just a good business practice!
The Rudder Group Growth Strategies & Mentor Capital
The Rudder Group Growth Strategies & Mentor Capital
THE RUDDER GROUP ACCELERATES OUR CLIENTS:
• Time To Market
• Time To Revenue
• Time To Positive Cash Flow
• Time To Exit
www.theruddergroup.com
GROWTH STRATEGIES & MENTOR CAPITAL
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