Getting Out of Business is a Process

Exit is a business process. The time needed to complete the process is directly related to the complexity of the business and the circumstances underlying the decision to leave. Planning how to exit your business is just as important as how we started.

The output process, the schedule of events and associated tasks must be tailored to the nature and complexity of the business. Each case is individual and different reasons for the dissolution, and the problems are unique to each individual case. The following list contains the key elements that must be evaluated as early in the checkout process as possible to eliminate the stumbling blocks later.

The process of exiting a business must include the assessment of the following:

1. Consultants and Professionals to participate as team members.

2. Prepare a list of assets and conduct a physical inventory.

3. Conduct a valuation of the company.

4. Prepare a detailed plan and assign responsibilities.

5. Announcements and Notices release.

6. Hold or transfer of obligations of the contract.

7. Have assets and transfer.

8. Accounts Payable and settle debt obligations.

9. Prepare final financial statements and tax

10. File articles of dissolution.

11. Special Edition and prepare presentations, announcements of information returns, and taxes.

12. Receive notice of Tax Clearance.

13. Closure of bank account.

14. Store Business Documents

The process to exit with a successful company requires the same amount if not more as the start of planning for the company. While the process may be easier, it is probably more enjoyable and less stressful. The best advice for business owners is to incorporate the possible exit strategies in the early stages of building their businesses. Surveillance and monitoring of active management is needed to ensure that complications and problems that could affect the dissolution, and net worth, do not develop at the barricades. When the time comes to dispose of or sell the business, be sure to hire the necessary expertise relevant and prepare an action plan.