The summary of Exit Modelling
The summary of Outcome Modelling
Businesses are dynamic and can have disordered results. Therefore, it is necessary to be prepared for possible outcomes in future. Implied risk in any business is always present due to uncertainty of future results. Purpose of financial or project management is to be prepared for every outcome that is due to current decisions or investments made for future. Therefore, risk management in any business scenario or financial expectation should be outcome-focused rather than being process-focused. Outcome Modelling estimation is done to ascertain the results with more advanced analysis than simple arithmetical averages and totals.
Purpose of Exit Strategy
- For exiting a non-performing investment.
- For closing a business that is not generating profits.
- For limiting losses.
- For legal reasons, such as estate planning, liability lawsuits or a divorce.
- For a simple reason that business owner/investor is retiring and wants cash out.
Importance of Exit Strategy
- It helps to reduce stake in the business.
- It improves the probabilities of success.
- It significantly increases the ultimate exit valuation.
- It is a pre-requisite to a financing strategy.
- It is a foundation for entire company plan.
Different Exit Strategies
Veristrat helps clients in successful exit of their business. Following are the different types of exit scenarios:-
- Merger and Acquisition
- Initial Public Offering (IPO)
- Management buyout
- Family succession
How we support you?
- By identifying the appropriate exit plan for your business.
- By calculating the expected value you can receive based on your exit plan.
- By identifying the exit options that are most aligned with your goals.
- By identifying the outcomes in particular exit scenarios.
- By helping companies in determining a condition that will trigger an exit and the conditions that will preclude an exit.