Selling a business is often the most significant financial event of your life. It represents years, sometimes decades, of effort and risk.
But the difference between a good sale and a great one often lies not in the price you achieve, but in the planning you do before it happens.
If you expect to sell your business in the next 24 months, the time to prepare is now.
The next two years can shape your financial future for decades to come.
A structured plan allows you to:
Optimise tax reliefs such as Business Asset Disposal Relief
Secure your personal finances before the deal
Position proceeds for long-term investment and succession
Think of it as shifting from owner mindset to investor mindset — a transition that takes time, not a single event on completion day.
Before you talk numbers or tax, ask a simpler question, what does “enough” look like?
Do you plan to retire, start another venture, or support family members?
Without a clear goal, it is easy to structure the deal around the business, not around your life.
Map out your post-sale lifestyle, income needs, and ambitions. This becomes the blueprint for every decision that follows.
Your business may be sale-ready, but are you?
Review personal liabilities and clear unnecessary debt
Maximise pension allowances while you still have earned income
Use ISA allowances to build tax-free liquidity
Consider gifts or trust structures if intergenerational planning is part of your goal
Simple steps taken now can save significant tax later.
If you hold shares jointly with a spouse or partner, ensure both meet the qualifying conditions for Business Asset Disposal Relief (formerly Entrepreneurs’ Relief).
Currently, this allows each shareholder to pay just 10% capital gains tax on up to £1 million of lifetime gains, provided the shares have been held for at least two years and other conditions are met.
If your structure is not aligned, there may still be time to adjust before the clock runs out.
Proceeds from a sale can arrive in stages — upfront payments, deferred tranches, or earn-outs.
You will need a plan that matches income timing with expenditure needs.
Cash flow modelling can help you see how much you need accessible immediately and how much can be invested for growth.
This prevents emotional decisions in the excitement (or fatigue) that follows the sale.
After the sale, you move from a concentrated risk — your business — to diversified investments.
The mindset shift is significant.
Instead of growth through effort, your wealth must now grow through structure and discipline.
That means:
Building a clear investment strategy based on goals, not markets
Spreading risk globally across asset classes
Prioritising tax efficiency using ISAs, pensions, and investment companies if appropriate
Do not rush to “put money to work.” Let the plan lead the portfolio.
If your family will ultimately inherit the wealth, early planning is essential.
Certain reliefs, such as Business Relief, may be lost once the business is sold.
Replacing those benefits with appropriate structures can protect value for future generations.
A sale is often a good time to create or update wills, trusts, and powers of attorney to reflect your new financial landscape.
James and Sarah own a manufacturing business worth around £4 million.
They plan to sell within two years.
By transferring a small shareholding to Sarah now, both will qualify for Business Asset Disposal Relief, halving the tax on their gains.
They also increase pension contributions while the company is still trading and prepare a post-sale investment strategy focused on generating £120,000 a year in retirement income.
When the sale completes, they already know what comes next.
A business sale is not just a financial transaction, it is a personal transition.
The earlier you plan, the more options you keep open.
In two years, you can move from uncertainty to clarity — from being defined by your business to being in control of your wealth.
If you expect to sell your business in the next 24 months, book a confidential strategy session to align your sale with your financial future.
Nic Round is a Chartered Financial Planner and Chartered Wealth Manager, authorised and regulated by the Financial Conduct Authority.