Entrepreneurs are putting their own financial security and the long-term success of their business at risk by failing to adequately consider how they will exit the business, according to business advisory firm Deloitte.

The company's Entrepreneurship UK: 2008 report found that 74% have failed to give the issue much consideration while 39% have no exit plan at all and 35% are simply waiting for an opportunistic approach from a third party interested in buying the business.

This lack of attention to how and when to exit is made all the more surprising by the fact that the founder remained involved in the day-to-day running of the business in 72% of cases.

"An entrepreneur's first objective understandably tends to be to create a business upon which to build value," said Tony Cohen, head of entrepreneurial business at Deloitte.

"They will often only consider selling that business when first approached by a potential buyer. This can leave them unprepared and at a disadvantage. Having a clear exit strategy in place from the outset may sound counter-intuitive but is, in fact, essential.

"With entrepreneurial businesses, it is vital to plan for the future, growing the value and attractiveness of the business by implementing a clear development strategy from the beginning, including putting in place a strong management team to lead the business following the eventual departure of the entrepreneur."

The Centre for Management Buyout Research suggests 62% of family-run businesses are eventually bought out by private equity investors but Deloitte points out that failing to prepare for such approaches mean entrepreneurs could be shortchanged or unable to agree a price.

Planning a management buyout, however, can ensure the firm maintains independent ownership, albeit in a different business structure.

An example of someone who is already planning an exit strategy from an early stage is Brian Hamill, chairman of Redgrave Partners LLP, his fourth business venture.

"There are four key areas we focus on to make the business an attractive proposition to the eventual buyer: having a good management team in place; good succession planning; good housekeeping and accounting; and strong cashflow and balance sheets with a clear growth plan for at least the next three to four years," he said.

"When we created Redgrave, we already had in place a plan to exit the business in 2011, growing the annual turnover from £2m to £15m and increasing the territories we currently operate in from one to five.

"In doing so we would have created a business that is attractive to a trade buyer by demonstrating rapid profit growth, being cash-accretive and broadening the footprint of the company."