1) The exit strategy I would chose for my company, Canine Condiments, would be to get the company as successful as possible, work there for several years, and then sell the brand. I would most likely sell the company after ten years or so. Though I plan on selling to a venture capitalist, I would not be opposed to staying with the company. When you become an entrepreneur, your business becomes your baby for several years. That being said, I could see my attachment issues getting in the way and having a difficult time parting with the business.
2) I selected this strategy because I plan on eventually having a children and a family. I would want to sell the company so I could spend time with my family and enjoy life. I am a fan of the FIRE (financially independent retire early) method of investing, so I would live off of 30% of my earnings and invest the rest to get larger returns. The money from investing, plus the capital I gain from selling my business, would ideally be enough for me to retire, invest more, and grow my assets. Though I am a hard worker (and in reality will be working for majority of my lifetime), if I had a successful business, I would totally sell it.
3) I do not think that this exit strategy has influenced other decisions I have made in my concept. Quite honestly, I did not even think about my exit strategy until this assignment. Up until now, I was making decisions based on what I thought would drive sales and expand us into as many markets as possible. I made this business concept on a subject I was passionate about, not wether I was going to sell it long term.
Hi Lily,
ReplyDeleteI think that this makes a lot of sense for your business. It would be great if you could sell this idea to a big pet food company like Purina or Merrick. I think pet food companies would jump at the opportunity to buy this idea because it goes directly with what they are selling. I think Purina has a weight loss food, so it only seems logical that they would want a weight gain food as well. Great work!
Lily,
ReplyDeleteI also had a similar exit strategy. I plan to also make my business as successful it can be in the short term and then sell it. Owning a business just isn't part of my career path. This is the first time I have heard of the FIRE acronym, I thought it was interesting and similar to the plan I have.