Exit strategy for shareholders and investors

dimpy.handa

Dimpy Handa
An exit strategy is basically a plan to get out of a situation. The term exit strategy is most often applied to investment in business, and to military engagements. An exit strategy is recognized as being crucial to help bring about a positive conclusion to either a business or military undertaking.

In business, an exit strategy is usually determined at the outset of the business modeling. A good business plan will incorporate an exit strategy for investors, helping to show them that the model will result in profit for them, no matter what. An exit strategy can take a number of different forms, depending on the business, the investment, and the general climate. An exit strategy is often presented as a bail-out option, in case the company begins losing money, or it appears its future is not as bright as predicted.
 
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