Once a business owner understands the time gap, that understanding acts as a wake-up call. Wake-up calls can sometimes cause panic, and owners might want immediate results, expecting to turn everything around in six weeks.

The profit, value, and wealth gaps did not form overnight, and they can’t be fixed overnight. When we work with clients, we can often make predictions on the other gaps. Once we have all the data and discuss a plan of action, we can estimate when those gaps will close and by how much.

For the time gap, however, there are no guarantees.

An owner’s specific timeline depends on their level of effort and the complexity of the work needed to close the other gaps. External factors can’t be predicted, and many things out of your control can unexpectedly affect your business. Your health, the economy, weather disasters — even plumbing problems can alter the best laid plans.

Once the work is done, the plans have produced results, and the business owner has closed their profit, value, and wealth gaps, then what? Can the time gap shrink to nothing once an owner is ready to walk away?

It’s important to know that, when doing due diligence on a business before purchase, most buyers look beyond current financials, back three to five years on the performance of the business. So even if a business turns around in 12 months, that value increase may not be reflected at the negotiating table. To demonstrate that gained improvement is sustainable, not a temporary bump, expect at least three to five years to make changes, close gaps, and document peak performance.

This all means that if you put off thinking about your time gap, you could be painting yourself into a corner that will lock you into two equally bad options: be forced to work longer than you want to, or be forced to leave money on the table by selling your business for less than its true potential value. Or worse, you might never achieve a sale, which happens to 80% of businesses that go to market.

“Time is our most valuable asset, yet we tend to waste it, kill it, and spend it rather than invest it.”

— Jim Rohn, entrepreneur and author

You know how to successfully get to the end of your day. Now, how do you get to the end of your work? Many owners think they are doing well by just treading water and keeping the lights on — always assuming that any serious action toward cashing out of their business is years away. By thinking long-term now, you can adjust your focus toward a future goal and close your time gap.

While there is no “one neat trick” that will close your profit gap, value gap, and wealth gap, Eagle can help you every step of the way, starting with a gap analysis. Call us today to schedule a complimentary discovery meeting.