In our wealth advisory practice, Bitterroot Capital Advisors works mainly with individuals and families who are wealth creators. Our clients’ financial successes have followed from an intense dedication to an enterprise or career that produced an exceptional outcome. We often begin conversations with new or prospective clients as they start to contemplate their next chapter, what we refer to generally as an “Exit.”
We believe in using a broad lens with respect to “Exit Planning.” First, in addition to the need to manage and optimize the specific transaction(s) constituting the Exit, the larger context can often pose new questions about your goals and the assistance you need to achieve them in the next phase of your life. So, Exit Planning should include not only the transaction(s) but also preparation for managing wealth following an Exit. We believe this holistic approach is likely to result in an outcome best tailored to your needs.
Second, most discussions about “Exit Planning” tend to focus on the specific case of an outright sale of a business, but we prefer to consider an Exit more broadly as a shift away from whatever has been the wealth creator’s singular focus. While an Exit may reflect a single liquidity event or a more gradual unwinding, the wealth being released may have also accumulated over a long, successful career. The trigger may be an immediate or phased sale of a business, the gradual liquidation of publicly listed shares or some other event. In each instance, the transactions should result from a planned process and preparation.
In this publication, we expand upon these concepts.