Small business retail advice: what’s your exit strategy?

It’s the big question small business retailers have, often too late in their ownership life of their loan retail business.

What’s your exit strategy?

As a POS software company developing and supporting POS software for local independent retail small businesses, we get to have terrific conversations with retailers. This question of planning for the exit comes up, and it is often years after they bought or started the business, usually is close to when they want to exit.

Our advice is to start planning for your exit from day one. Let this inform your business decisions, to maximise the value you achieve when you do exit – through a better sale price or through having more money in the bank from successful day to day trading in your retail business.

This is what exit planning is all about, making decisions every day that make your your exit is in the terms you want, when you want.

As a POS software company we can help you with business efficiencies, and insights that benefit you in. the day to day. As retailers ourselves we can provide contextual advice to help as well.

here are some practical tips we have seen work well:

• Define Your Goals: What does your ideal exit look like? Do you want a lucrative sale, a family succession plan, or a gradual wind-down? Having a clear vision will guide your decision-making. Do this early, so you know.

• Set SMART Goals: Once you know your desired outcome, translate it into Specific, Measurable, Achievable,Relevant, and Time-bound goals. For example, a goal might be to “increase net profit margin by 5% within the next year.” Connect your actions back to evidence curated baby the POS software.

• Financials Matter: Maintain clean and organised financial records from POS software through to accounting and more. Touch data with human hands less. Track key metrics like sales trends, inventory levels, and profit margins. Develop realistic financial projections to understand your business’s growth potential.

• Invest in Your Team: A strong team is an invaluable asset, this includes you. Empower your employees through training, development opportunities, and a positive work environment. A loyal and skilled team is not only crucial for daily operations but also makes your business more attractive to potential acquirers.

Tower Systems is not your average POS software company. We help local independent retailers thrive through our POS software, customer service and conversations we welcome with any local indie retailer.