Collins Law Office P.A.

Start your Exit Readiness Assessment:

The transfer of your business may be the biggest financial transaction of your life. At Collins Law Office, P.A., we utilize The ExitMap® to help clients understand their current level of preparedness so that they can begin the succession planning process.

It consists of 22 questions, produces a 12-page report and only takes 15 minutes.
It’s easy to decide which of the multiple-choice responses best fit your company.
It requires no financial or other confidential information.
It takes a broader view of your business than just the numbers.

Enter your email address and select your advisor from the drop down list. You will receive your Exit Readiness report in approximately one business day. The report ranks your overall preparedness and provides a breakdown of your readiness by category: Finance, Planning, Profit/Revenue and Operations.

* Email Address:

* Confirm Email Address:

* Select Your Advisor:

Collins Law Office, P.A. | 20 Lake Street North, Suite 202, Forest Lake, Minnesota 55025 | (651) 464-7400

ExitMap Assessment© Questionnaire

Please provide your contact information and the answers that most
closely describe your current situation regarding your exit time frame.

Contact Information:

* First and Last Name:

* Email Address:

* Confirmed Email Address:

* Company:

* Title:

Access Code:

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About Your Professional Advisor:

Collins Law Office, P.A. provides superior legal services and practical advice to clients in the areas of estate planning, elder law, probate, residential and commercial real estate, business, and civil mediation. All business owners who complete this questionnaire will receive a 12-page Assessment summary report.

* Advisor's Name:

* Advisor's Email Address:

* Advisor's Company:

Exit Time Frame:

* A. I would like to step back from day to day management of my business:
In the next year.
In 1-3 years.
In 3-5 years.
In 5 years or more.
I already have.

* B. I would like to walk away from my business completely:
In the next year.
In 1-3 years.
In 3-5 years.
In 5 years or more.
In more than 8 years.

ExitMap Assessment© Questionnaire
(Page 1 of 4)

Focus Questions (1-5):

* 1. My decision making team consists of:
Only me.
Several supervisors.
Managers in key areas.
Independent decision-makers running all areas of the business.
Executives developing all strategies as guided by my vision.

* 2. My plan for the eventual transfer of my company is:
I’m not really sure.
To close down completely when I am ready to leave.
To transfer ownership to a family member or employee.
To put it up for sale to a third party.
I already have an agreement with a qualified buyer.

* 3. I know what the post-tax proceeds of exiting need to be because:
I have a general idea of how much I’ll need and am confident it will be enough.
I have calculated my future income from my current assets combined with the proceeds from the sale of my company.
I’ve calculated my future income needs including lifestyle, life expectancy and inflation assumptions.
I have had a Certified Financial Planner calculate the needs including lifestyle, life expectancy and inflation assumptions.
I have a professional projection of future needs, and have compared them to my business valuation and projected tax liabilities.

* 4. I know my company's current market value, because:
I have no idea what the value of my business is.
I have a figure in mind that I need to retire and I know it is worth at least that.
I’ve talked to other people who sold their companies, and know what companies like mine should sell for.
My accountant or financial planner researched comparative sales.
I have a certified valuation of the business.

* 5. I will handle the taxes on the transfer of my business by:
I haven't looked at the tax implications.
I plan to just add the tax burden to my target net price.
I assume I'll just pay capital gains tax.
I assume I'll just pay ordinary income tax.
I've had a CPA analyze the tax consequences of a sale.

ExitMap Assessment© Questionnaire (continued)
(Page 2 of 4)

Focus Questions (6-10):

* 6. I think the most likely buyer for my business is:
I don’t know.
Another entrepreneur or a competitor.
Family members already engaged in the business.
Partners or employees who currently manage the business.
A clearly identified strategic buyer.

* 7. The diversification of our revenues by customer is: Not really diversified. 50% or more comes from one customer.
Somewhat diversified with a few customers that account for most of our business.
In line with the Pareto Principle. 80% of our business is from 20% of our customers.
Fairly diversified. No one customer accounts for more than 10% of our business.
Very diversified. No one customer accounts for more than 5% of our business.

* 8. Most of my customers: Are driven by price and will buy from whomever makes the best deal.
Appreciate service, but focus on cost.
Return year after year and increase their spending.
Are committed to long-term, written purchase contracts.
Can get what they need only from my company.

* 9. My key employees are: Irreplaceable. They have unique skills vital to our survival.
Employed at will, under verbal understandings.
Employed with written agreements and incentives
Employed under non-compete and confidentiality agreements.
Employed with long-term incentives that vest and accrue if the business is successful.

* 10. The plan for the business in the event of my death or disability is:
I don’t know.
My partners, employees or family will have to take over.
To sell it as quickly as possible or shut it down.
I have a mutual management agreement with a competitor or colleague outside the company to take over in my absence.
We have a plan to bring in experienced interim management with full instructions on a transition..

ExitMap Assessment© Questionnaire (continued)
(Page 3 of 4)

Focus Questions (11-15):

* 11. The documentation of our systems and processes for operations, human resources, and administrative functions are:
Mostly verbal.
Written, but bear little resemblance to what we actually do.
Written, but somewhat out-of-date.
Fully documented, but not always followed on a day-to-day basis.
Fully documented, updated and required to be followed in all areas.

* 12. My typical work week is:
Over 60 hours.
55-60 hours.
45-55 hours.
40-45 hours.
Less than 40 hours.

* 13. Our revenues are:
Declining for three years or more.
Up-and-down from year-to-year.
Flat for three years or more.
Growing slightly over the last three years.
Growing strongly over the last three years.

* 14. Our profit margins are:
Declining for three years or more.
Up-and-down from year-to-year.
Flat for three years or more.
Growing slightly over the last three years.
Growing strongly over the last three years.

* 15. Our financial performance against industry (NAICS or SIC Code) standards are:
I don't know.
Bottom quartile.
About average.
Top quartile.
Top 10%.

Focus Questions (16-20):

* 16. In the event of my sudden absence from the business, my documented contingency plan for operations includes: We do not have a documented contingency plan.
A documented list of responsibilities that my managers can handle.
A documented succession plan for managers with written retention incentives for key staff.
Documented succession and retention plans, plus instructions for governance and continuation of family income.
Complete contingency planning, including insurance to retire debt and fund working capital.

* 17. Are employee goals and reviews aligned with the company's mission, vision and values? We do not have formal employee goals or performance reviews.
We do formal employee reviews and set goals but we don’t have a clear company mission or vision.
We have employee goals and reviews, but they are not necessarily developed around our mission or vision.
We have employee goals and reviews, developed around our main mission or vision.
All employee development and incentives are aligned with specific short and long term company objectives.

* 18. How dependent is the business credit on your personal guarantees? I personally guarantee all business debt.
I have guarantees on some, but not all business debt.
I guarantee real property, but do not have personal guarantees on leases or credit lines.
The business has no debt.
The business can incur any necessary debt without the need for personal guarantees.

* 19. Our Technology Policy is to: Replace things when they fail.
Purchase upgrades when support is discontinued by the vendor.
Upgrade as the need arises, or for clear improvements in productivity.
Budget and implement upgrades on a planned defined schedule.
Stay near the leading edge, constantly looking for the next improvement.

* 20. After I leave the company, I am planning to: I don't know.
Do something or nothing. Just take it day by day.
Take up a hobby or work for a non-profit.
Get a job.
Pursue my life's passion.

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This assessment, website and its contents are copyright of MPN Inc. and The ExitMap® and may not be reproduced. Submission of this form constitutes your acknowledgement.

Your Exit Readiness Assessment has been submitted.

Thank you for completing the ExitMap^® Assessment© questionnaire. Please allow 24 hours (one business day) for delivery of your report via email to both you and Collins Law Office,P.A. Your Advisor will contact you to discuss your preparedness based on the report.

We are dedicated to helping business owners who want to choose their own
time frame for transition and retain control over the entire process.

Finance

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Planning

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Revenue/Profit

ExitMap Assessment ema icon_revenue_profit

Operations

ExitMap Assessment ema icon_operations