10 January 2012,
Comments: Comments Off on The Exit Plan — Most People Never Think About Getting Out
We’ve had the opportunity to work with a number of start-ups in different industries. Some seem safe bets and others are far out. Way far out. No matter the idea, most of the founders were very passionate about their business idea. Some even wanted us to sign non-disclosure agreements before talking to them. (why we don’t do it.)
Today, we were reminded of one of the biggest issues in any business: knowing when to eject. When do you say: It’s time to stop, shut down, and get out?
Hardly anyone thinks of it when starting a company. The passion involved tends to overwhelm. And it should. Why start anything unless there’s overwhelming passion to do so?!
We encourage people to think about the conditions which would cause them to want to get out. Is it that you haven’t reached a particular metric(s) by a certain timeframe? Dollar amount? Size of company? Whatever it is, you need to have some idea of when to pull the handle and eject.
Don’t fear the failure. We live in a great country and you can restart easily.
For those of you who own businesses: When would you eject? Think about it…