As an owner planning an exit, I want to take a strategic pause and step out of the daily operations, but how do I prove to a buyer that the leadership team is actually running the business without me?

Question

Tyler Smith · Accepted Answer

A buyer will discount the value of your business if they believe you are the primary engine driving its success. To prove the business can run without you, you must establish a clean break and document it using your EOS® tools.

Start by removing yourself from the Integrator seat on the Accountability Chart if you have not already done so. Move yourself to the Visionary seat, or step off the chart entirely and transition to a board role.

Next, practice the strategic pause by stepping out of the weekly Level 10 Meeting™ for an entire quarter. Let your Integrator run the meeting and let the leadership team solve operational issues without your input.

During this time, the leadership team must continue to hit their Scorecard metrics and complete their quarterly Rocks. This track record of independent performance is your evidence for potential buyers.

Show the buyer a historical record of your Scorecards and V/TO® alignment from quarters where you were not involved in the day-to-day operations. This data proves that the business operates on a self-sustaining system, which dramatically increases your enterprise value and ensures a clean exit.