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Home > Business Coaching > Exit Planning for Business Owners: Why It Can’t Wait

Exit Planning for Business Owners: Why It Can’t Wait

September 24, 2025 by Claire Brown Kohler

Ready or Not, You Will Exit

Most business owners—whether they run a remodeling company, a law practice, or a manufacturing firm—don’t start their companies thinking about the day they’ll leave. But the truth is, every owner will exit someday, whether by choice or by circumstance. The question is: will you be ready, and will you get what you hoped for? That’s why exit planning for business owners is something you can’t afford to ignore.

The Hard Reality of Business Sales

The numbers are eye-opening:

  • Only about 30% of businesses that go on the market actually sell.
  • Just 10–40% receive the value the owner expected.
  • Meanwhile, 79% of business owners have no written exit plan.

That means the majority of owners are leaving money—and options—on the table.

Many business owners are so consumed with the day-to-day demands of running their companies that they rarely step back to think about the future. Serving clients, managing employees, and keeping projects on track often take priority over long-term planning.

As a result, exit planning gets pushed to “someday”—a date that never seems urgent until a crisis hits. Unfortunately, waiting too long to prepare can mean leaving significant value on the table, or worse, being forced into a sale under unfavorable conditions.

You may be confident because your company is generating strong revenue, but buyers look beyond annual sales. They care about enterprise value—a measure of the long-term strength, transferability, and profitability of your company. And enterprise value grows when you commit to exit planning for business owners well in advance.

Why Exits Happen Sooner Than Planned

Half of all business exits are involuntary, forced by one of the 5 D’s:

  1. Death
  2. Disability
  3. Divorce
  4. Disagreement among partners
  5. Distress (economic disruption, pandemics, new technology)

When these hit, you don’t get the luxury of time to strengthen your business. Early exit planning for business owners gives you options—and leverage.

How to Increase Your Sale Price (and Enjoy Running the Business More)

Fortunately, there are clear steps every owner can take to close the “value gap” between what the company is worth today and what it could be worth in the future. Here are some of the biggest levers:

  • Financial Clarity – Keep accurate, transparent financials. Buyers want predictable income and clean books.
  • Leadership & Team Capacity – Build a team that doesn’t rely on you for every decision. This is especially key for remodelers, where owners often wear too many hats.
  • Sales & Marketing Systems – Ensure you have repeatable, documented processes that generate steady leads and revenue.
  • Operational Efficiency – Smooth workflows, accurate job costing, and project management systems raise confidence for any buyer.
  • Customer & Contract Diversification – Too much reliance on a few big clients can decrease value.

These improvements are the foundation of smart exit planning for business owners. And the best part? They don’t just prepare you for a future sale—they make your business easier to run right now. Owners often find that planning for tomorrow actually gives them more freedom today.

Start Sooner Than You Think

Exit planning isn’t something to tackle a year before you’re ready to sell. It often takes 18–36 months to address gaps in leadership, financials, and systems. By starting early, you’ll increase the probability of not only selling your business, but selling it for what it’s truly worth.

At We Empower Leaders, Claire can help purpose-driven business owners (including many in the remodeling industry) shift their focus from short-term income to long-term enterprise value. With the right exit planning for business owners, you can grow a company that’s more valuable, less dependent on you, and positioned for a successful exit—on your terms.

She has seen firsthand how proactive planning transforms a business. One business owner she worked with grew his revenue by 50% over three years. Together, they identified new revenue streams, built out a stronger marketing engine, and focused on leveraging his team more effectively so the business wasn’t dependent on him for every decision. By diversifying income, strengthening visibility, and empowering his people, he not only increased revenue but also boosted the long-term value and marketability of his company.

Interested in learning how to increase the value of your company? Schedule a discovery call with Claire today!

Filed Under: Business Coaching, Leadership Tagged With: leadership

About Claire Brown Kohler

As the president and founder of We Empower Leaders, I’m a coach, strategic consultant, and leadership trainer focused on helping successful people scale their business with more joy and greater direction.

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