Most owners will wish to make a voluntary exit from the business once they feel that they have achieved their personal financial goals. For some, that position may only realistically be achieved on a partial or full sale of their stake in the business. Such a sale may be planned for example, as part of a lifestyle decision or be unplanned for example, when an offer is made by a third party that is too good to refuse. For others, financial security may be provided over the course of a number of years of profitable trading activity at which point the owner will seek to retire.
    
For businesses that are at a growth stage in their life cycle for example, when they are making the transition from a small to a medium sized entity, the risk of failing to secure or enhance the enterprise value that has already been created intensifies as operational risks inevitably increase. Expansion often brings with it a loss of direct owner control thus increasing business risk. The fear of having to make a forced exit due to the failure of the business is a dominant theme in the psyche of most business owners. This is particularly the case for those who have already enjoyed a measure of success in growing their business but who recognise that the vast majority of their personal wealth is tied up in the business.

Small, Medium Enterprises (SME) would derive great benefit from the adoption of a coherent set of business efficiency and risk strategies appropriate to the stage reached in their business life cycle and their restricted human and financial resources. Seeking to replicate the highly specialised Risk Management and Business Continuity Management models utilised by much larger company’s is simply too cost prohibitive. Moreover these specialist strategies tend to overlook the more important areas of concern for the typical SME owner.

Properly applied, business efficiency, strategy and risk management can bring real benefit to the SME. The business will produce a better return on investment as barriers to growth are removed, team working improved, out dated or duplicated procedures eliminated, management information prepared more efficiently and operating costs reduced. At the same time should an owner seek to exit the business through sale, such strategies would also contribute to a more effective and valuable sale process. Potential acquirers pay great attention to the integration issues arising from a purchase and are often prepared to pay a higher premium for a well managed business.