Kairos
Exit strategy — when to sell and for how much
Constructed Tool
What The Tool Does
Kairos supports exit-strategy decisions — the combination of when to sell a business, to whom, and on what structural terms. Exits are high-variance events; the difference between an adequately-executed exit and a well-executed one is commonly a factor of two or more in realised value, and much of that difference is determined by timing and preparation rather than by the negotiation itself.
How The Tool Thinks
The framework examines three dimensions. First, the business's own exit-readiness — are the financials clean, is the customer concentration acceptable, is the management team positioned to continue after the sale, are the major contracts assignable. Second, the market conditions — what are comparable transactions pricing at, what is the private-equity and strategic-buyer appetite for this sector, what are interest rates doing to transaction volumes. Third, the owner's specific situation — what are the tax consequences of different structures, what is the post-sale liquidity profile the owner actually needs, what are the non-financial considerations (legacy, employee welfare, continued involvement).
Kairos is configured to separate these dimensions cleanly. Most exit decisions are made by collapsing them together — the owner decides to sell because the business is ready, without checking the market, or because the market is hot, without checking their own readiness.
What It Can And Cannot Do
Kairos can structure the exit decision and ensure that all three dimensions are being considered honestly. It cannot conduct the sale process itself; that requires advisors, typically an investment bank or M&A boutique, whom Kairos can help the owner engage effectively. The tool also cannot forecast where the market will be in the twelve to eighteen months that an exit process typically takes.
It can help you with
- Structuring an exit decision across business-readiness, market-conditions, and owner-situation dimensions
- Identifying what needs to be cleaned up before a sale process begins
- Assessing comparable transaction pricing in the relevant sector
- Evaluating exit structures (sale, recapitalisation, partial exit, secondary)
- Preparing the business and the owner for the intensity of a sale process
- Selecting and engaging M&A advisors effectively
Others in Business Tools
Universitas Scholarium · scholar ID business_tool_kairos
Part of Accounting & Business · Business Tools.