What Is a Harvest Strategy?
The harvest strategy is the act of publicly selling a business to employees or outsiders to gain value created by the business. Entrepreneurs have many options to choose from when harvesting the value created by the enterprise, including: redesigning the company's goals and strategies to increase the company's cash flow as a bonus for owners and investors; being acquired and merged by a larger company Sell the company privately directly to another company or investment group, management (usually using leveraged buyouts), employees (in the form of employee stock selection plans or holding meetings), family members, etc. in exchange for cash, bonds, or shares ; Public offering of shares, etc. [1]
Harvest strategy
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- The harvest strategy is the act of publicly selling a business to employees or outsiders to gain value created by the business. Entrepreneurs have many options to choose from when harvesting the value created by the enterprise, including: redesigning the company's goals and strategies to increase the company's cash flow as a bonus for owners and investors; being acquired and merged by a larger company Sell the company privately directly to another company or investment group, management (usually using leveraged buyouts), employees (in the form of employee stock selection plans or holding meetings), family members, etc. in exchange for cash, bonds, or shares ; Public offering of shares, etc. [1]
- The harvest strategy refers to the reduction of investment in a specific department or a specific business area of the company in order to reduce costs and increase cash flow. The increased cash flow is used to meet the promising new or growing sectors of the company. And the cash needs of the business, also known as the harvest strategy. For the department or business that adopts the harvest strategy, the investment of equipment is limited to maximize the short-term benefits. The investment in equipment and other investments is minimized. The oil squeeze method is used to strive for more profits in a short period of time and provide other products for other products. Funding.