Ex-Zurich exec launches exit strategy business
By Craig Phillips
FormerZurich FinancialServices head of life riskMichael Harrison has setup his own consultancy,Strategies+plus, to providesuccession planning adviceto the industry and assistbusinesses in developingexit strategies.
“Most business peoplefind it easier to establish abusiness and grow it ratherthan leave it. In fact, toomany business people haveno idea of how to preparefor the day when they wantto exit their businesses,”Harrison says.
According to Harrison,who left Zurich in July lastyear, most business peoplefocus heavily on nurturingand growing their firms butfew are properly equippedas to the best way to removethemselves from the businesswhen the time comes.
Harrison says there arefive strategies business owners can deploy to get out oftheir business.
These options include asale to another party, amanagement buy-out, amerger with an existingcompetitor, an Initial Public Offering (IPO), and succession plans aimed atensuring a family memberor co-owner is able to continue to fund and operatethe business.
“They [business owners]are too focused on profitsand growth today and notlooking at tomorrow. As aresult, they often leave it toolate to maximise the valuethey have built,”Harrisonsays.
“It is futile to work for alifetime building somethingup and then have no ideahow to get out of the business when the time comesto retire.”
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