Selling Your Catalog: Prepare for the End Game

Immediately it becomes clear that having an idea as to the end game is preferable, as each of the end games demands different strategies and tactics. The tax implications alone require careful financial investigation to determine where the present and future benefits and liabilities fall.

If you spend five years preparing for succession, and suddenly the business must be sold to a strategic buyer, the financial outcomes can be entirely different. If the strategy is to sell the catalog to the top two managers, and suddenly liquidation is the only alternative, the financial harvest will be significantly different from what was originally anticipated.