Sell My Business and Retire? Traditional Retirement Vs A Discovery "Gap Year"

When you successfully sell a business, you haveoften back out of the sale, fearing it won't go
the luxury of thinking about retirement. In somesmoothly or will stop mid-stride. Without investing
cases, however, you may just need a break ortime in parsing out what's important to you and
sabbatical, not complete and final rejection ofdesigning an exciting future, you may resist
what you have done in the past. Let's look atengaging in the selling process or focus only on
how to build a successful retirement lifestyle, andthe money when more fulfilling options or potential
then look at a different approach: a gap you.buyers may be a better fit for your long-term
If you're focused on a traditional notion ofhappiness.
complete retirement without day-to-dayA "Gap Year"
obligations, you're wise to plan that out. GoingPerhaps a "gap year" should be part of your plan.
from a Type A personality to a Type Z mayThis is the European and increasingly American
seem attractive at first, but ultimatelycollege student concept of taking time off for
entrepreneurs - the ultimate go-getters - won't bepersonal discovery during college or before
satisfied with doing nothing. Before you leave thestarting a career. Running and selling a business
business, mapping the activities, courses, books,are exhausting, and a pause to rest, have fun,
and people you want to engage can help youand explore could be a wise use of your time. A
focus on your personal prize during the difficultrestorative and contemplative sabbatical might
process of selling a company. "Know thyself"reward you with the chance to study your next
becomes an operating principle here. As a businessmoves before enacting them.
owner, you likely have been charging hard atOur advice to you is that it's best to put
goals all your life. Will you feel fulfilled without onestructure around your discovery process. We
ahead of you? And you have greater controlhave recommended putting a flexible time limit-a
over selecting your goals once a business is sold.year, for example-on the endeavor. Again, on a
How will you seize this chance for change?more day-to-day level, consider dedicating
For some, the concept of an endless vacation asone-third of the time on activities you've put off,
a leisure-pursuing aristocrat looses luster after aone-third on maintaining or building your health, and
while. To go from a hundred miles per hour toone-third on actively searching for your personal
zero can seem attractive, but, over time, it may"next big thing." Perhaps that means taking classes
become unpalatable to a former boss who'sor meeting people, maybe engaging a personal
accustomed to making things happen. Even incoach, or taking up other activities that help you
complete retirement, consider our advice ofto assess yourself and find new ways to
dividing life into thirds: catch up on things you havecontribute and challenge yourself. It puts a
put off, improve your health, and find somethingstrategic focus on what to become involved with,
challenging to devote energies to that makes youinstead of letting whatever crosses your path
happy.captivate or capsize you. Our clients have told us
There's another, equally serious reason to envisionthat this approach of thirds gives them a balanced
your post-sale life earnestly before selling abreak yet also pushes them to define the next
company. Absent a vision of life after the sale,phase of life.
your uncertainty could be so disconcerting that itI invite you to use these ideas to create your
creates resistance to selling the business at all.best-life business exit strategy.
Potential buyers who sense a seller's reluctance