Bad advice for entrepreneurs: 7 of 7
 

You must have an exit strategy

A profitable company can always find a buyer, especially if it is still growing. Why should such a company need a formal exit strategy?

.

The world’s stock markets, even during boom periods, can never absorb more than a tiny fraction of truly successful start-ups. Small companies outside the technology and Internet sectors are rarely acquired by giants.

.

Leveraged buyouts are not realistic options for fast-growing young companies either. Sooner or later rising interest rates will reduce the scope of private equity acquisitions.

.

I am convinced that exit strategies caused many otherwise promising start-ups to fail, because short-sighted investors forced them to grow too quickly.

.

I try to help entrepreneurs build solid businesses that will be increasingly profitable for many years ahead. I expect investors to receive, within five years, dividends greater than their original stake and increasing every year thereafter.

.

Why rush to sell a cash cow? Better to wait for some buyer to make a spontaneous offer. He will almost always be prepared to pay much more than a targeted buyer.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
.
Bad advice
for entrepreneurs
A few
success stories
Our team Home
"You will need at
least a million..."
Technology is what
really counts.
The "first mover"
myth
Your national
market is a
natural platform.
Start in high gear.
Awareness,
awareness, awareness
You must have
an exit strategy.