rich hall, cepa

Mastering the Art of Business Exit Planning: Insights from Doug Thorpe and Rich Hall

In a recent episode of “Leadership Powered by Common Sense,” host Doug Thorpe sat down with Rich Hall, a certified exit planner, to delve into the intricacies of planning for a business exit. This comprehensive discussion sheds light on the importance of strategic preparation, the role of an exit planner, and the critical factors business owners must consider to ensure a successful transition. Here, we break down the key insights and actionable advice shared during the episode, providing a valuable guide for business owners contemplating their exit strategy.

Understanding the Role of an Exit Planner

What is an Exit Planner?

An exit planner is a professional who assists business owners in preparing for the transition out of their business. This transition could involve selling the business, passing it on to family members, or other forms of exit. The primary goal is to maximize the business’s value and ensure a smooth transition that aligns with the owner’s personal and financial goals.

Why You Need an Exit Planner

Rich Hall emphasizes the critical role of an exit planner in navigating the complex process of business transition. Without proper preparation, the success rate of businesses going to market is alarmingly low, with only about 30% achieving a successful sale. An exit planner helps mitigate this risk by:

  • Assessing Personal and Financial Goals: Understanding the owner’s objectives and aligning them with the business’s valuation.
  • Creating a Game Plan: Developing a strategic plan to prepare the business for a successful exit.
  • Enhancing Transferable Value: Identifying and improving aspects of the business that are attractive to potential buyers.

Key Factors in Business Exit Planning

1. Early Planning is Crucial

One of the most significant takeaways from the discussion is the importance of early planning. Business owners should start preparing for their exit well in advance to address potential issues and maximize the business’s value. This proactive approach is akin to preparing a house for sale—addressing underlying problems before going to market can significantly enhance the saleability and valuation.

2. Understanding Transferable Value

Rich Hall introduces the concept of transferable value, which refers to the aspects of a business that are attractive to potential buyers. Business owners often overvalue their businesses due to personal attachment and emotional investment. To shift this perspective, owners should:

  • View the Business from a Buyer’s Perspective: Consider what makes the business appealing to buyers and identify areas for improvement.
  • Transition Relationships and Responsibilities: Ensure that key relationships and responsibilities are not solely dependent on the owner. This makes the business more sustainable and attractive to buyers.

3. Addressing Challenges in Single-Owner Businesses

Single-owner businesses face unique challenges, particularly regarding personal relationships and the owner’s role in the business. Rich advises owners to:

  • Delegate Responsibilities: Start transitioning key responsibilities to other personnel within the company.
  • Build a Strong Management Team: Develop a team that can sustain the business operations independently of the owner.

4. Preparing for Due Diligence

The due diligence phase of a business sale involves thorough scrutiny by sophisticated buyers and bankers. To ensure a smooth and successful sale process, business owners should:

  • Identify and Address Potential Risks: Proactively address any issues that could be flagged during due diligence.
  • Maintain Accurate Financial Records: Ensure that financial statements and records are accurate and up-to-date.
  • Enhance Operational Efficiency: Streamline operations to demonstrate a well-run and profitable business.

Actionable Steps for Business Owners

Start Early

Begin planning your exit strategy several years in advance. This allows ample time to address potential issues and enhance the business’s value.

Seek Professional Guidance

Engage with a certified exit planner to navigate the complexities of the transition process. Their expertise can significantly increase the likelihood of a successful exit.

Focus on Transferable Value

Identify and improve aspects of your business that are attractive to potential buyers. This includes delegating responsibilities, building a strong management team, and ensuring operational efficiency.

Prepare for Due Diligence

Proactively address potential risks and maintain accurate financial records to ensure a smooth due diligence process.

Align Personal and Financial Goals

Work with your exit planner to align your personal and financial goals with the business’s valuation and exit strategy.


Planning for a business exit is a complex and multifaceted process that requires strategic preparation and professional guidance. By understanding the role of an exit planner, focusing on transferable value, and addressing potential challenges early, business owners can maximize the value of their business and ensure a successful transition. As Doug Thorpe and Rich Hall emphasize, proactive planning is key to creating a well-run business that is attractive to potential buyers and poised for a profitable exit.

For business owners at any stage of their business lifecycle, the insights shared in this episode of “Leadership Powered by Common Sense” provide a valuable roadmap for navigating the exit planning process. By taking these actionable steps, you can set your business up for a successful and profitable transition when the time comes.


After a highly successful corporate career spanning executive leadership and business turnarounds, Rich leverages his experience as a Business Advisor and Certified Exit Planning Advisor for business owners and entrepreneurs. He helps business owners evaluate their business today and creates a path for a very successful exit in the future. He also works closely with their financial advisor, CPA, attorney, and other professionals to ensure the business fulfills the future wealth goals of the owner and their family. Rich gives back to the community through pro-bono coaching and business advisory services to CEOs, entrepreneurs, and business owners through various business-oriented affiliations.


Rich believes the most effective executive is one that has an unquenching desire to learn, demonstrates utmost integrity, an unwavering ability to execute, prioritizes family, faith, and relationships, to achieve results above and beyond expectations.

Rich understands the challenges facing the executive as he’s had to balance them himself during very stressful and demanding times. Rich believes that advising extends beyond set agendas and scheduled discussions to situational leadership and feedback when needed most. He makes himself available to clients as they need him to assist with timely responses to difficult situations. Focusing on the bigger picture, Rich advises clients through existing development areas while laying the foundation for being prepared for future challenges.


Rich’s leadership and experience spans across executive leadership, board of directors, and business ownership for privately held and family-owned organizations. Prior to advising, Rich was the President of a 68-year family-owned business where he led the company’s executive team and was responsible for all aspects of corporate strategy and execution, financial responsibility, sales & marketing, and daily operations to achieve record profits and revenue. Today, Rich helps business owners increase the value of their businesses and prepare for very lucrative exits in the future.

Link: RichHallGroup.com

Small business owners will hit an invisible wall that can stall the growth of the company. The key reason there is a wall is that owners need to shift from manager to leader. The question is, how to do that?

Doug is a coach for CEOs and Senior Leadership Teams with 30 years of leadership experience. He is the president & CEO of Doug Thorpe Group. Doug is also a podcast host.

He helps owners understand the ways they need to reshape their thinking and attitude to make a successful break through the wall.

Learn how to move from Founder to CEO.

LinkedIn: https://www.linkedin.com/in/dougthorpe/

Doug Thorpe Website: https://dougthorpe.com/

Podcasts: https://podcasts.dougthorpe.com

Twitter: https://twitter.com/dougthorpe_com

Doug Thorpe Facebook: https://facebook.com/headwayexec

Instagram: https://instagram.com/dougthorpe_com

YouTube: https://youtube.com/@dougthorpe

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