Guide · Business exit
Do you need a financial adviser after selling a business?
After a company sale, the biggest mistake can be treating the proceeds as an investment product before deciding what the money is meant to achieve.
A sale can change the whole balance sheet
Business-sale proceeds can replace an asset that previously produced income, carried concentrated risk and formed part of the owner's identity. The new personal plan needs to reflect all three changes.
You do not need to invest everything immediately
A period of cash can provide time to understand tax liabilities, spending, future projects and the level of financial independence the sale has created.
Look for repeated exit experience
FoundersDoes the adviser regularly work with people after liquidity events?
DiversificationHow do they approach moving from one concentrated business asset to a diversified personal portfolio?
RetirementCan they model whether paid work is still financially necessary?
FeesAre large portfolio percentages tiered or capped?
The financial adviser may need to coordinate
Tax and legal questions around a sale can require accountants, solicitors and transaction professionals. The financial adviser's role is the personal financial plan, not replacing every specialist.
Sources & further reading