How to Exit WITHOUT Selling

Most drycleaning business owners exit their business WHEN they sell their business, or in many cases, AFTER they sell their business (typically in the case of an earn out agreement).

Here’s what usually happens:

#1 – the owner sells at an amount that is far less than optimal and has narrowed the types of buyers who will be interested in the business. After all, only a small number of buyers want to come in and manage the business. Most do not.

OR

#2 – more commonly, the new owner makes an offer requiring the existing owner to stick around during a transition period. Usually ties the period of time to an earn out for part of the sale of the business.

Both options can be VERY problematic. In the case of an earn out, the new buyer wants you to do the work to make the business operate without you. But the promised money that should be paid out over time is usually reduced or eliminated altogether.

The solution to avoiding both of these options is to exit the business BEFORE you sell the business. I call it “Exit Without Selling.”

If the business operates AND grows without you (which means you have fully exited the business, but still own it), then the business is worth exponentially more than either option above.

If the business efficiently operates AND grows independently from you, then when it does come time to sell, you will attract a whole different type of buyer. A strategic buyer who considers your business an investment in their portfolio. One that can even be used to strategically grow other investments they have.

This is one of our primary areas of focus in Maverick Drycleaners. Exiting your business long BEFORE selling gives you the financial and time freedom you seek to live life on your terms, and it also creates a much more valuable company for you.

Are you going to the Drycleaning and Laundry Expo in Orlando June 7-9th? If so, I can’t wait to see you there. I will be delivering a seminar on this exact subject – how to EXIT your company long before wanting to sell. We will dive in deep to this subject.

You can find out more about this exciting trade show here: https://dlexpo.org/dl-expo-east/
The show will be held at the beautiful Gaylord Palms Resort, and will have operating equipment there.

If you’re going to attend the show, please shoot me a quick email at [email protected] and let me know so I can bring you a special gift and keep an eye out for you.

Have a great week!
Dave