Fifteen years ago I joined the investment management world. Very quickly I started to develop a specialty working with private business owners. Shortly after starting my private business specialty I started to notice a pattern:
I’ve been a fan of the phrase perma-five for over thirty years. The term started as one where a business owner is stuck. Now, when I use it the term it’s usually around business owners not willing or able to think an exit from their business.
When you have a permanent five year plan on the same topic you are in perma-five. Unless you take specific actions around this issue, you will likely stay in this state for a very long time. The world might change and you could be rescued, but changes will likely come only if and when you change what you’re doing.
I’ve been talking about the concept of perma-five for years as it relates to when a business owner wants to leave their business. Simply stated, perma-five is the state a business owner is when they don’t know how they’re going to leave their business or if they can afford to leave it.