// FINANCIAL PLANNING

By Anthony Nasca, Financial Advisor & Certified Exit Planning Advisor( CEPA ®)

You’ ve built a dealership you’ re proud of. Now you want to exit on your terms with enough proceeds, certainty and peace of mind to support your family, your next chapter and your legacy. But you may be looking at 2026 and wondering: Is this still a good time to sell? And if you do sell, how do you get to dollar in the final stretch?

The market is no longer the post-COVID seller’ s market. Buyers are still active, but they’ re tougher: normalized margins, higher floorplan costs and more diligence around inventory and working capital. To understand where the market stands today, I asked my good friend and marine business broker, Jon Couwenberg- Director of the Marine Division of Performance Brokerage Services:

“ Activity and values declined slightly in 2025 as dealers awaited clarity surrounding the retail environment, interest rates and the‘ new normal’ for profitability in the industry. After several years of unprecedented performance, the market has shifted, and both buyers and sellers are adjusting expectations in response to changing economic and operational realities. Despite these headwinds, there are meaningful reasons for optimism as we continue into 2026. Our experience has shown that periods of uncertainty are naturally the precursor for the next wave of healthy and sustainable buy-sell activity.”

In the face or a rapidly changing and opaque buy / sell market. You may be asking yourself, what should I do? Here’ s the plan we give to dealers who want to exit in the next year:

Step 1: Get Clear on the Value of your Business

According to the Exit Planning Institute, upwards of 95 % of owners aren’ t certain of the value of their business, and similar studies show that on average 80-90 % of a small business owner’ s net worth is locked in their business and real estate.

While there are many ways to look at it, most buyers today are using EBITDA-based models- averaging adjusted earnings over five to six years and applying a multiple of earnings( usually 0-4x). But what ' s included in that multiple can vary. Some buyers base it solely on goodwill, while others include furniture, fixtures, equipment( FF & E) and even parts and accessories.

Ultimately, as Jon had put it: " The value comes down to whether the buyer believes they can maintain or improve performance and achieve their target return” based on: 1. Your historical adjusted earnings, 2. The buyer ' s pro forma projections, and 3. The buyer ' s target return on investment. When the right buyer sees a clear path to greater earnings, they ' re often willing to pay more.

Step 2: Assemble Your“ Deal Team”

Once you know what your business is worth, you need to fill out your roster with experts who will play critical roles before, during and after the deal. This deal team would consist of: CPA( quality of earnings mindset, tax planning, clean financials) Attorney( deal structure, reps / warranties, risk) Business broker / M & A advisor( market positioning, buyer access, process control) Financial planner( deal coordination, post-close planning, tax strategy, estate considerations)

This deal team can be your local advisors, or they can be specialists brought in specifically for the sale. We always say your team should be comprised of folks that specialize in deal-making and in dealerships.

Step 3: Build Your“ Exit Plan Roadmap”

Most dealers start the planning process by asking themselves“ is now the right time, or should I wait for the market to get better?” The question is – will we ever see the perfect market to sell? With all that goes into taking a business to market, it can be easy to kick the can down the road, but to be clear it can also be costly. I recommend you start with the end in mind by asking: 1. What is my business worth today? 2. Would a sale seek to accomplish my personal and family goals? 3. If yes, is it worth the time and stress of hanging on assuming the economy might look similar in a couple of years?

Once you address these critical questions, you can go back into the steps that you need to take between now and close. From a business perspective, Jon shared:

“ For dealers who are prepared, 2026 presents a more constructive backdrop for exploring an exit. The decision to sell is highly emotional and complex, and we always encourage our clients to evaluate their personal and financial goals in determining whether a sale in today’ s market will support those objectives. While some uncertainty remains, we are beginning to see more stability in the market. Buyers are gaining confidence in a more predictable earnings environment, and sellers who have maintained disciplined operations are starting to see that reflected in buyer interest and valuation discussions. The ability to demonstrate or forecast sustainable earnings has become a key driver of value.”

From a financial planning perspective this can mean re-running your retirement projections to make sure you’ re on track, reviewing the tax implications of the deal and making sure you are keeping as much cash in your family’ s pocket, or even reviewing your estate and charitable planning as you navigate the transaction

According to the Exit Planning Institute, most business owners do not have written exit plans or formal advisory teams in place. For these reasons, almost seven out of eight business owners are not fully satisfied with their exit. The guidance above is designed to help you flip the odds in your favor.

Disclaimers: This material has been prepared for informational purposes only. It does not provide individually tailored investment advice. It has been prepared without regard to the individual financial circumstances and objectives of persons who receive it. Morgan Stanley Smith Barney LLC(“ Morgan Stanley”) recommends that investors independently evaluate particular investments and strategies, and encourages investors to seek the advice of a Morgan Stanley Financial Advisor.

www. boatingindustry. com april 2026

21