We want to use the Step by Step Exit model to prepare our business for an exit in five years, but our current leadership team is entirely tactical and lacks the strategic acumen to manage the transition. How do we upskill or restructure this team to build an exit-ready superstructure?

Question

Tyler Smith · Accepted Answer

Preparing your business for a clean exit using the Step by Step Exit model requires your leadership team to shift from managing daily tactics to building a highly valuable, self-sustaining asset. Buyers do not want to acquire a company where the owner and leaders are stuck fighting daily operational fires. They want a business with a strong, unified leadership team that can run the company independently.

To build this exit-ready superstructure, you must first evaluate your current team using the Accountability Chart. Define the future seats required to run the company without your daily involvement. Identify where your current leaders fall short of these future roles. If you have loyal, core-value-fit leaders who are currently too tactical, you must invest in upskilling them. Help them master the tools of the operating system, focus on high-level strategy, and take full ownership of their departmental Rocks.

If certain leaders lack the capacity to scale into these strategic roles, you must make the hard decision to restructure. You may need to bring in experienced external executives or fractional leaders who understand how to prepare a business for sale. Do not let sentimentality prevent you from building the team your future buyer expects to see. A healthy leadership team that functions cohesively is the single greatest asset you can present to a buyer.