exit strategy

Exit Strategy

1. In entrepreneurship and venture capital, a plan to end one's involvement with a business or investment while making the greatest possible profit (or smallest possible loss). An exit strategy is designed to turn an illiquid asset into liquid cash for the investor. The most straightforward exit strategy is simply selling one's business. If this is impossible, difficult, or unprofitable, another example is discounting one's products to sell as much as possible in as short a time as possible, as in a going-out-of-business sale.

2. In trade, a plan to close a position at a certain point. For instance, a trader may make a stop-loss order in order to close an unprofitable position.

exit strategy

The method by which an investor plans to cash out of an investment. For example, a venture capitalist may intend to utilize an initial public offering to liquidate an investment in a closely held company.

Mentioned in ?

Sarbanes-Oxley Act of 2002

References in periodicals archive ?

Economists are divided on the ideal exit strategy for Bank of Japan from ultra-loose monetary policy, according to Reuters.

Economists arguing over ideal exit strategy for Bank of Japan

This is an excellent opportunity to learn from the pros how to start the process of considering the financial plan for yourself and your business, determining how to develop your exit strategy and/or succession plans and determining the value of your business.

Financial planning and exit strategies in franchising

Four critical steps will make planning your exit strategy a lot smoother:

When it's time to leave: how to formulate an exit strategy: you've built a successful business, now what?

A tripartite team including the Sudanese government, African Union (AU) and United Nations (UN) has been set up in February 2015 to develop an exit strategy for the UNAMID from Darfur.

UNAMID's exit strategy team to resume its work in mid-April

In a survey of spa entrepreneurs conducted by InSPAration Management, 90% of spa owners have not even thought about planning for an exit strategy.

Introducing Financial Freedom

Exit Strategy will also be linked to an interactive app, Reptile Resistance, that explores the storyline in more detail, inviting users to complete brainteasing challenges to help defeat the lizards.

Jail escape challenge in new city attraction; Former court cells to be part of code game

A financial reward-based exit strategy is a strategy based upon the highest potential returns to the owners (Babich & Sobel, 2004; DeTienne et al.

Exit strategies in family firms: how socioemotional wealth drives the threshold of performance

The opposition politician has previously said that he would engage in diaologue with representatives of the Syrian government but has not metioned an Assad exit strategy before.

Syria's opposition offers Assad an exit strategy

Crafting an exit strategy should be a priority before a business progresses from the start-up stage.

A grand exit: launching a business with an eye to the future

A document published on the Government's website states: "The Minister for Local Government & Communities [Carl Sargeant] has agreed to award a maximum of PS564,271 exit strategy funding for 12 areas.

PS650k spent on 'exit strategy' for poverty projects; COMMUNITIES FIRST SET TO TARGET LARGER 'CLUSTERS'

While SocGen's exposure to Greece is at the low end of the French banks - especially compared with Credit Agricole , owner of Geniki's larger rival Emporiki - analysts quoted SocGen CFO Bertrand Badre as saying that the bank was "as busy as" Credit Agricole in looking for an exit strategy.

SocGen cuts Greek exposure, mulls exit

You need to plan your exit strategy with any property deal before you commit to it.