Friday, 30 December 2016

ENTREPRENEURIAL EXPERTS SPEAK ON BUSINESS EXIT STRATEGIES

As effect of the economic downturn continues to take a toll on many business owners in the country, business experts have urged entrepreneurs in Small and Medium-sized Enterprises (SMEs) to build exit strategies – from the grip of the recession – into their business models which will prevent withdrawal from their businesses.

They said exit plans encourage entrepreneurs to run their businesses according to best practices including tax and other regulatory policies which, among other things, will help them to properly value and sell it for the best price.

They spoke in Lagos at the Compex Africa Business Exit Forum which brought together business buyers, sellers and other stakeholders to discuss the exit options available for SMEs in the country.

The speakers included Ukachukwu Obinna, Head SME Banking Stanbic IBTC; Damilola Aloba, Associate Director, Ernst & Young; Collins Onuegbu, Director Lagos Angel Network and Founder, Signal Alliance and Ikechukwu Ubahakwe, Partner, Astute & Young.

Business exit plans, they added, provide incentives for people to engage in entrepreneurship knowing that they could someday cash out big and eventually, they channel part of their newly acquired wealth, time and experience into other ventures with economic benefits.

In his presentation, the Associate Director, Transaction Advisory Services, Damilola Aloba said: “To tackle recession, your business plan must be exceptional in order to attract and convince clients.” Explaining the basis of the forum, Onuegbu said: “Compex Africa has been campaigning to create an asset class of people who start businesses, exit them successfully and maybe start another line of business.”

Compex Africa Chief Operating Officer, Ifeoma Uddoh, said the firm had a business listing of over N100 billion on its website and had received enquiries from local investors as well as in those based in the United States, United Kingdom and other parts of Europe. Areas of discussion at the forum included the legal aspects of buying a business, preparing businesses for sale and the importance of business exit. (NationalMirror)