Mind the Gap: Maximize Your Business Potential

If you have ever ridden the London Underground, you have probably heard the phrase, “Mind the gap.” It is a simple warning to watch your step between the train and the platform. In business ownership, there is another and far more costly gap to mind: the Exit Gap. This is the difference between what your business is worth today and what you need it to be worth in order to fund your next chapter.

The Great Exit Gap in Numbers

Here are a few sobering facts:

• Roughly 80% of businesses never sell (exitstrategiesgroup.com).

• Between 2018 and 2022, only about 6% of small businesses listed actually closed at sale (teamshares.com).

• Only 20% of small firms are truly sale-ready in normal economic conditions (finance-commerce.com).

• More than half of business owners are now age 55 or older, yet just 54% have a formal succession plan (investmentnews.com).

• A full 42% of owners do not have a written financial plan, and 30% have no estate plan at all (kiplinger.com).

These numbers reveal a startling gap between ambition and preparedness.

The Human Side of the Gap

Statistics are one thing, but the Exit Gap shows up in real lives too.

Take Mike Roach, who co-owned Paloma Clothing in Portland for nearly 50 years. When it was time to retire, he worked with his longtime manager, Traci, to transition ownership. By bringing in his accountant early and making Traci a co-owner, Mike created a smoother path for everyone involved (apnews.com).

Not all stories end so well. In one survey, 75% of owners reported regret after selling, often because of rushed planning, unrealistic expectations, or the emotional toll of walking away from their life’s work (kiplinger.com).

Why the Gap Exists

Several forces make the Exit Gap a common reality:

• Lack of planning: Only 42% of owners have formal exit strategies, even though many plan to leave their business within five years.

• Unrealistic expectations: Owners often overvalue their company based on sweat equity rather than buyer demand. Buyers aren't buying your company to reward you... they're here to make money.

• Market headwinds: High interest rates and slower economic growth have reduced buyer appetite, leaving only 20% of firms sale-ready today.

• Emotional factors: Owners underestimate how attached they are to their business, which leads to hesitation, regret, or failed negotiations.

• Dependence on the business: For 70% of owners, the business is their main source of retirement wealth. If it does not sell, their entire financial plan can unravel.

Why Nest Egguity Exists

Nest Egguity was built to help entrepreneurs close this gap before it is too late. We provide education, tools, and systems that make businesses more attractive to buyers and investors.

Through our app, you get:

• Practical lessons on clean financials, legal shields, operations independence, and valuation.

• A readiness score across 13 competencies, turning vague ideas of “preparedness” into measurable progress.

• Templates and tools that apply real-world best practices so you can act with confidence.

Try the app free

Minding the Gap Before It Is Too Late

Every owner has an Exit Gap. The real question is whether you will address it now, while there is time to make improvements, or later, when your options may be limited.

Nest Egguity exists because small business owners deserve more than wishful thinking. You have worked too hard to let your life’s work fizzle out at the finish line.

So remember the phrase from the Underground: Mind the gap. Only this time, it is not about a train platform. It is about your exit.