Define your business exit strategy upfront to align structure and operations decisions
Before making major structural decisions, clarify whether you're building for lifestyle (sustainable income, work-life balance), legacy (lifetime commitment), or exit (sell in 3-7 years). This determines corporate structure, which functions you keep vs. outsource, hiring philosophy, and how you build systems. Exit-focused businesses need documented processes and transferable operations.
When to use
Early in your business journey, ideally before making major hiring, structural, or operational decisions. Revisit if your goals change significantly.
Don't do this
Building a lifestyle business structure when you want to sell, or over-engineering for exit when you actually want a lifestyle business. Making these decisions reactively instead of proactively.
2 Founders Who Did This
Drafted 10-year acquisition roadmap from day one with three explicit goals, shared plan with all 50 employees
Before first customer, calculated 5M pound freedom number, identified acquirers (Sage, Intuit, Xero), printed logos on wall; documented every process in playbooks with inspection processes