I need help with these 5 questions please..... m11 \"A Clothing Boutique is the
ID: 335101 • Letter: I
Question
I need help with these 5 questions please.....
m11
"A Clothing Boutique is the preferred type of business." 1. Based on your preferred business, what is the typical exit strategy for businesses in your field? Ex. Are they sold? Are they 2. What should your preferred exit strategy be for your business? Why do you feel this strategy is the most appropriate for your Example Options: acquired by a larger firm? Do they just cease to exist? business? Sell the business to an employee, customer, competitor, or other buyer Pass the business on to a family member Merge with another business Cease to exist and sell off assets 3. For how many years would you plan to own this type of business? 4. How much involvement, if any, do want to have with the business after you exit? How long do you want your transition out of the business to take? 5. How much money do you want to receive when exiting the business?Explanation / Answer
I want to bring my personal experience for the same case. I am also doing business in the clothing sector. In my view best exit strategy for the business is to sell it to other business firm at the same price or slightly low from your price. By doing this at least you would never incur huge loss. As we know in the clothing sector, fashion changes rapidly, so its better to sell it to the other firm without making any delay so that you will able to cover at least your investment money. In my view its better to sell your business to another competitor. Because being in the same field as your competitor would like to acquire your customer too. So the chances of selling business to other competitor are more favourable than any other option. In my personal experience I plan to carry my business as long as I can manage. Because in this sector if you are able to survive for the initial 2- 3 years then the probability of the continuity of the business increases. In this business its all about your creativity and your regular customer. If your customers like your designs then for sure he will not move to other boutique. It’s better to not to involve in the business once you sold it to the third party. Because nobody wants interference from the outsider. In few months you will be able to come out of your transitions. At least equivalent to my investment. So that I am at no profit no loss situation.