Exit opportunities for entrepreneurs and angel investors have changed dramatically in just the past few years. Companies are getting sold early than ever before. Tech companies are often sold only one or two years from start up.

There is very little information available for entrepreneurs and angels on exit strategies, exit plans and selling companies. The books and blogs that are available are usually on starting, financing and growing companies.

Almost all of the earlier books on exit strategies were for business owners who wanted to retire. Recently, there have been a number of books written about exit transactions for traditional venture capitalists. “Early Exits” is the first book about selling companies specifically written for entrepreneurs and angel investors.

Today, it’s most likely a company will be sold without ever having an investment from a venture capitalist. This is happening because the traditional venture capital model is badly broken and because new technologies make it possible for entrepreneurs to build companies with far less capital than ever before.

The values that companies are sold for is much smaller than most people think. The median price for private companies that are sold in America is probably under $15 million. The reported median is about $25 million, but this only includes the transactions where price is disclosed. Most often, the price is not disclosed for the smaller transactions.

Companies are being sold earlier than ever before because big companies have lots of cash on their balance sheets. Big companies know they are not good at starting businesses or growing businesses from zero to $20 or 30 million in value. Large companies are much better at growing businesses from $ 20 million to $200 million in value. Today, growth by acquisition is the best way for big companies to grow. Many large companies are spending more on M&A than R&D.

These trends have created a golden era for entrepreneurs. Entrepreneurs are creating companies and selling them for tens, or even hundreds, of millions of dollars just a few years from start up.

Every company needs a clear exit strategy – right from founding. It doesn’t have to be complicated. Good exit strategies are often only a few sentences long. The important thing is to have all of the shareholders aligned on the exit strategy. “Early Exits” is about exit strategies that every entrepreneur and angel investor should be utilizing right from start up to maximize the chances of an early, profitable sale of their companies.

Reading “Early Exits” will help help entrepreneurs and angel investors have more successful, more frequent and more profitable exits.