You have spent the majority of your adult life working hard and slowly nurturing your company to a position of strength. Your reputation as an honest and efficient business person is a proud reflection on your work and the fact that many of your long standing clients are now trusted friends is testament to this. So how do you put a price on your life's work and can you really walk away knowing that the business will be in safe hands?

When considering selling, it is vital that you establish a clear cut succession plan to ensure that you receive the correct financial reward for your career's work. It will take time and careful consideration to find the option that works best for you and there are plenty of questions to be raised before you choose which path is best for you.

In practice there are six main options for those looking to pass on or sell their business. Of course each situation is different and often a compromise between these will be required. However as a general rule at least one of the following scenarios will fit with most acquisitions within the broking sector.

Possibly the simplest option is to persuade your fellow directors to buy you out. This can often be agreed quickly and without too many problems as you are dealing with people whose trust and understanding you have gained over the years. The integrity of the business remaining unaffected and the lack of disturbance on your client base and staff are also great advantages. However, this form of buy out is dependant on finance being readily available to the remaining members of the board so it is not always viable.

Alternately an individual could sell their shares to an external third party. There is some risk in this as the wrong person coming in could cause difficulties with the remaining shareholders. The flip side however, is that if the right person comes on board then they can add an injection of new ideas and fresh life into the business propelling it forwards.

A long term strategy is to train an existing employee with a view to taking over the reins. This offers the prospect of instilling your existing values into the next generation of your company and goes some way to ensuring a legacy; however the obvious pitfall is the realisation of capital. Unless your protege has substantial personal wealth or you are a very generous employer, will they have the funds necessary to step in and buy you out when the time comes?

If all shareholders are in agreement then selling up to another firm is a common choice, but how will working under a new regime impact upon those that stay on? Can those members of the board that stay adapt to less business-critical roles so easily? Without the full backing of all the shareholders a successful deal cannot be agreed so negotiations need to reflect the needs of those who will remain as much as those who are looking to leave.

The final option is to face up to facts that liquidation may bring in more revenue than selling the company as a going concern. If the business is turning over just enough to stay afloat but retention rates are not sufficient enough to attract a reasonable offer, it may be that the equity tied up in assets such as cars or property may be more profitable sold on their own. Again the decision to wind the company down is one not to be taken lightly as the welfare of your staff also enters the equation once again.

Ultimately you need to think carefully about the exit strategy that fits with your own thinking and how you wish to see the business develop once your gone. The most desirable strategy may not be available to you and of course market conditions and levels of third party interest is always going to feature highly in how you leave your business and the value you are able to realise for it.

For any seller, it is essential to find a suitor that you are comfortable with so you can be confident that the new corporate culture will sit well with the way business has been run traditionally. It may be the last deal you make, but be prepared to do some serious work on this one as quite simply; it is the most important deal of your life.