M5D9am2

Embed Size (px)

Citation preview

  • 8/16/2019 M5D9am2

    1/7

    The Harvesting and Exit Strategy of yourBusiness

  • 8/16/2019 M5D9am2

    2/7

    Harvesting

    What is harvesting?−

    It is part of your business plan− To show investors how they will earn their

    investment in your business venture.

    − It is an indiator of wealth reation

  • 8/16/2019 M5D9am2

    3/7

    Harvesting

    ! Three ways"

    #. sell your business$

    %. ta&e it publi 'Initial (ubli )ffering$ I()* or 

    +. merge it with another.

  • 8/16/2019 M5D9am2

    4/7

    How to ,alue -our Business to

    Harvest it profitably

    ! ain methods to estimate the value of

    your business"

    #* ar&et ,alue of /et 0ssets

    %* ,alue of 1uture Earnings

    +*  )ff Balane Sheet ,aluations

    2* 3eplaement 4ost

  • 8/16/2019 M5D9am2

    5/7

    Exit strategy

    ! 1our paths"

    #.  05uisition%. Earn )ut

    +. 6ebt7E5uity Exhange

    2. erge

  • 8/16/2019 M5D9am2

    6/7

    Worst 4ase Senario

    8i5uidation$

    4losure$

    Ban&rupty

  • 8/16/2019 M5D9am2

    7/7

     0tivity

    ! 6evelop and present senarios for bestase$ worst ase$ and most li&e situationsfor your business onept