CEPA – The Need for Exit Planning: Study Guide, Key Concepts & Practice
Questions Review
What percentage of privately held businesses that are offered for sale each year ultimately do
not send ? - correct answer ✔✔80%
According to the Family Firm Institute, what percentage of family transitions survive into the
second generation ? - correct answer ✔✔30%
What are the 5 d's ? - correct answer ✔✔Divorce, Death, Distress
Business owners are leaving dollars on the table by not focusing on what? - correct answer
✔✔Enterprise value
The advisor of the future needs to get owners and advisors to make several paradigm shifts for
exit planning and value acceleration to work to the benefit of owners and their families. What is
the first paradigm shift that needs to be made? - correct answer ✔✔Exit planning is good
business strategy
What is exit planning planning according to Richard Jackim - correct answer ✔✔Exit planning
asks and answers all the business, personal financial, legal, and tax questions involved in
transitioning a privately-owned business. It includes contingencies for illness, burnout, divorce
and death. The purpose is to maximize value of the business at the time of exit, minimize taxes,
and ensure the owner is able to accomplish all his personal and financial goals in the process
What is exit planning according to Chris Snider? - correct answer ✔✔Exit planning combines the
plan, concept, effort and process into clear, simple strategy to build a business that is
transferable through strong human, structural, customer and social capital. The future of you,
your family and your business are addressed by exit planning through creating value today.
, True/False Exit Planning is Simply good business strategy. - correct answer ✔✔True.
After a year, of selling the business how many business owners regret the decision? - correct
answer ✔✔3 out of 4
How many businesses in the market do not sell? - correct answer ✔✔70-80%
How many family owned businesses survive into the 2nd generation? - correct answer ✔✔30%
According to 2013 EPi State of owners Readiness Survey, how many owners are not familiar to
their exit options? - correct answer ✔✔66% are not familiar with exit options
According to the EPI State of Owner Readiness Survet, how many owners do not have a formal
advisory team? - correct answer ✔✔78% have no formal transition advisory teams
According to the EPI State of Owner Readiness Survey, how many owners have no written
transition plan - correct answer ✔✔83%
According to EPI State of Owner Readiness Survey, how many owners have done no planning at
all - correct answer ✔✔49%
According to EPI State of Owner Readiness Survey, how many owner have no formal plan? -
correct answer ✔✔93%
What amount represents the value of wealth that transfers of approximately 4.5 million
businesses? - correct answer ✔✔10 trillion dollars
How many baby boomers plan to transition over the next 10 years? - correct answer ✔✔76%
Questions Review
What percentage of privately held businesses that are offered for sale each year ultimately do
not send ? - correct answer ✔✔80%
According to the Family Firm Institute, what percentage of family transitions survive into the
second generation ? - correct answer ✔✔30%
What are the 5 d's ? - correct answer ✔✔Divorce, Death, Distress
Business owners are leaving dollars on the table by not focusing on what? - correct answer
✔✔Enterprise value
The advisor of the future needs to get owners and advisors to make several paradigm shifts for
exit planning and value acceleration to work to the benefit of owners and their families. What is
the first paradigm shift that needs to be made? - correct answer ✔✔Exit planning is good
business strategy
What is exit planning planning according to Richard Jackim - correct answer ✔✔Exit planning
asks and answers all the business, personal financial, legal, and tax questions involved in
transitioning a privately-owned business. It includes contingencies for illness, burnout, divorce
and death. The purpose is to maximize value of the business at the time of exit, minimize taxes,
and ensure the owner is able to accomplish all his personal and financial goals in the process
What is exit planning according to Chris Snider? - correct answer ✔✔Exit planning combines the
plan, concept, effort and process into clear, simple strategy to build a business that is
transferable through strong human, structural, customer and social capital. The future of you,
your family and your business are addressed by exit planning through creating value today.
, True/False Exit Planning is Simply good business strategy. - correct answer ✔✔True.
After a year, of selling the business how many business owners regret the decision? - correct
answer ✔✔3 out of 4
How many businesses in the market do not sell? - correct answer ✔✔70-80%
How many family owned businesses survive into the 2nd generation? - correct answer ✔✔30%
According to 2013 EPi State of owners Readiness Survey, how many owners are not familiar to
their exit options? - correct answer ✔✔66% are not familiar with exit options
According to the EPI State of Owner Readiness Survet, how many owners do not have a formal
advisory team? - correct answer ✔✔78% have no formal transition advisory teams
According to the EPI State of Owner Readiness Survey, how many owners have no written
transition plan - correct answer ✔✔83%
According to EPI State of Owner Readiness Survey, how many owners have done no planning at
all - correct answer ✔✔49%
According to EPI State of Owner Readiness Survey, how many owner have no formal plan? -
correct answer ✔✔93%
What amount represents the value of wealth that transfers of approximately 4.5 million
businesses? - correct answer ✔✔10 trillion dollars
How many baby boomers plan to transition over the next 10 years? - correct answer ✔✔76%
