Three Comprehensive Steps

So, as we have just discussed, the first step is to determine exactly what it is that you wish to accomplish.

Step 1 - we will meet by phone once or twice to define your goals and objectives at a somewhat high level (20,000 ft. elevation). That's all free.

Once we determine that there is a basis for moving forward, we will move on to step 2

Step 2 - we meet face-to-face, usually at your office (isn't that unique today...), and drop down to a lower elevation for a much closer look at your options. We test the theories, collect individual views, better understand & prioritize your requirements, define pertinent business issues & obstacles and ultimately obtain a consensus for next steps.

Inviting board members, financial advisors, legal counsel and key members of your management team to this meeting is encouraged.

You will gain valuable information and insight that will undoubtedly influence your exit plan (whether you go choose to go forward with Financial Exit Planning, Inc. or not). So obviously, we charge a small fee for this engagement.

A "not to exceed" price quote will be provided for your consideration prior to this meeting being scheduled. Usually, we can determine the fee at the end of our initial conversation. You are under no obligation to have this meeting or to continue with us if you think our quoted fee is out of line.

After the meeting, when we think we have a sound exit strategy and mutually agree to go forward together, the next step is a feasibility study to turn our exit strategy into a solid action plan. As before, we will provide a not to exceed price quote for the next step.

This price will consist of a specific dollar amount plus points on the amount financed. Points can vary from a fraction of a point to a few depending on the anticipated level of difficulty and amount to be financed. And again, only if the quote is acceptable to you will we progress to step 3.

Step 3 - Financial Exit Planning will prepare a comprehensive study that includes:

    Market Analysis including competition, growth projections, etc.
    Fair Market Value
    The value is provided to Financial Exit Planning from an appraiser of your choice that is familiar with ESOP transactions. We will provide you with a list of qualified business appraisers, if needed.
    Verification of the viability of an ESOP company
    ESOP repurchase liability study
    ESOP operations analysis
    Individual Stockholder equity & cash flow analysis
    Define the Tax Savings
    Loan Schedules
    Projected ESOP Distributions
    Summary of the ESOP Design & Financing Plan
    Summary of the MSOP Design (If applicable)
    Summary of the KSOP Design (If applicable)
    Formal Business Plan for institutional lenders
    Confidentiality agreements
    An executive summary
    Performance Stats
    Goals, objectives & competitive advantages
    Value proposition for all parties involved
    Employee communication as required by IRS Regulations

We will arrange for the ESOP financing for a success fee and we will provide regulated ESOP roll-out and education of your people. We can work in concert with your legal and financial advisors by reviewing the documents they prepare or we can handle the entire transaction.

As we have said, all of our work is performed with a "not to exceed" price, quoted up-front and approved by you before the work commences.

Have you built a successful business and still feel like there is no way to get the value that you created out of the business?

Call 415.717.2092 or Email us today!

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