The State Of Exit Readiness

More than half (52%) of small business owners are confident they could successfully exit their businesses starting tomorrow, yet 72% have no formal exit plan or advisor, according to Exit Factor's survey of 1,104 U.S. small business owners. The financial stakes are significant, with 64% reporting that at least half their personal net worth is tied to their businesses and 82% having never obtained a professional business valuation. While 22% expect to sell or transfer their businesses within four years, one-third have taken no concrete steps to prepare.

The disconnect between confidence and preparation gives financial advisors, business brokers, accountants, estate planning attorneys, banks, credit unions, wealth management firms and business consultants a compelling reason to connect with business owners. Sellers can encourage these advertisers to emphasize business valuations, succession planning, retirement preparation and strategies for protecting the wealth owners have spent years building.