Editing Exit strategy (section)

==In business==
{{Main|Exit (investing)}}
{{See also|Barriers to exit}}

In [[entrepreneurship]] and [[strategic management]] an ''exit strategy'' or ''exit plan'' is a way to transition the ownership of a company to another company (e.g. through a [[Mergers and acquisitions|merger or acquisition]]), to investors (e.g. through an [[initial public offering]]) or to the owner's children or family. Other types of exit strategies include [[management buyouts]] and employee buyouts. Winding up a company, whether through a bankruptcy or voluntary [[Dissolution (law) | dissolution]], is also an exit strategy. Bringing on board strategic or financial partners may be considered a form of exit, albeit a partial exit, as it may help ensure succession and survival of the business.<ref>Nemethy, Les, Business Exit Planning: Options, Value Enhancement, and Transaction Management for Business Owners. John Wiley & Sons, 2011</ref>

Exit strategies are also used to ensure businesses are prepared for the termination of significant contracts or other business relationships. "There are many reasons why contracts come to an end, including non-performance by one or both parties, a significant change in the requirements of either party, or that the contract has run its course. In almost all cases, having a well-developed exit strategy is critical. The strategy is usually developed as the means by which to withdraw from a working relationship with a supplier. It can incorporate the process of returning assets, transferring back key employees and the conditions under which a relationship can terminate, for example, the failure to meet service level agreements, changes in circumstances, and ethical breaches".<ref>CIPS Australasia, [http://cips.org/Documents/Knowledge/Procurement-Topics-and-Skills/5-Strategy-and-Policy/Procurement-Strategy-Development/Exit_Strategies.pdf CIPS Procurement Topics: Exit Strategies] {{Webarchive|url=https://web.archive.org/web/20160307151429/http://cips.org/Documents/Knowledge/Procurement-Topics-and-Skills/5-Strategy-and-Policy/Procurement-Strategy-Development/Exit_Strategies.pdf |date=2016-03-07 }}, accessed 2 March 2016</ref>

Transition companies are professional mergers and acquisitions companies that assist business owners with their exit strategy. Services offered are often referred to as [[transition management]] services.