I often write about Sudden Money® instances in one’s life. For a business owner this happens when they decide to sell their business, the transaction closes and they now have traded their business for a pot of money.
Many people would think that when this event happens, the business owner would be ecstatic. After all, isn’t this the day that all business owners wait and plan for? The answer to this is actually no. For many, when they sell their business it’s the beginning of a journey that many business owners never thought about.
I find that some of the following things could happen to you when if and when you sell your business:
You might feel lost. You might have gained a fair amount of money, but you could feel lost in the world. You no longer have a place to go every morning and for some, not having a place to go will force them to ask what’s important in their life.
You might feel poor, even though you just got a bunch of cash. Running a business provides ongoing cash flow. When you sell your business, it’s no longer about creating cash flow, but having your investments, including the proceeds of your business sale provide for living expenses. This is a very different place to be for many people who have sold their business.
You might feel that you no longer are important. This fits in with the first point. When you sell your business you will likely become a non-person in your industry overnight. For some, this realization and this reality is a tough thing to come to grips with. It’s not that people don’t like you anymore, it’s just you’re off others radar and because of that they forget to call.
You might want to take stock of where you are. The month after you sell your business could be a very lonely time. I suggest that you take this time if you already haven’t to think about what’s next in your life. Hopefully, you will have a lot of time ahead of you to live and understand what’s next is a great thing.
Selling your business is not always what it’s cracked up to be. Before embarking on this project, it’s important that you think about moving from active cash flow to passive cash flow. It’s also important to understand the what’s next question. There is a chance you might be lonely and having a way to fill your time with meaningful activities is important.
You’ve spent your life building a business. Now someone else owns that business and you need to take the energy that you’ve used on transfer it to something else. With forethought and planning that movement could become a very positive part of your life.
As always, I would love to hear your ideas on selling your business, what does having a lot of cash mean and how do you decide what’s next? All of these are interesting questions to me.
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