A survey of more than 400 TEC
members - all business owners - revealed the following about their exit plans.
- Three-fourths of the owners had more than 50% of their net worth tied up in the business.
- A majority
did not know the value of their business.
- 85% had no exit plan whatsoever. The 15 percent who did were all over the age of 65.
- A large majority anticipated selling their business at a "round" age like 50, 55 or 60.
- Eighty-five percent said they would sell today if they became seriously ill; if they started losing money; if the competition overpowered them; or they got "a great offer."
Most business owners have been successful running their businesses. They have made money. Reinvested earnings.
Built an organization. Created value. They know how to run a profitable business. But often, they may not know how to sell their business and receive fair compensation for the equity
they have built in their firms.
For owners of small businesses, the process of selling or transitioning a business is even
more problematic. They are too small to attract the interest of most investment bankers. The owners are too busy running the business to dedicate the time and
energy necessary to successfully transition a business. Direct mail pitches for seminars from out-of-town business brokers often lead to expensive consulting reports with no guarantees.
Globe National Corporation is a local firm working exclusively with sellers of small businesses in southeastern Wisconsin. Each engagement is tailored to individual needs
of the small business owner. Confidentiality is absolute.
Dennis Ellmaurer is a principal of Globe National Corporation. Mr. Ellmaurer is also a
chairman of The Executive Committee, facilitating three CEO groups in southeastern Wisconsin. This affiliation with TEC offers access to a worldwide network of over
7000 CEOs, 400 in Wisconsin alone. For more information about TEC, go to
