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Federal Exit — Tool 04 of 06

Partnership Structure
Modeler

Compare three transition structures side by side — mentor-protégé, joint venture, and ownership transfer. Click any structure to see detailed timelines, SBA requirements, revenue impact, and economic outcomes. Includes NHO, ANC, tribal, and non-disadvantaged buyer options.

⚡ Fastest to Execute
Mentor-Protégé Agreement
SBA-approved formal agreement between an experienced firm (mentor) and your 8(a) company (protégé). Mentor can take up to 40% equity. You keep majority control and run the business.
✓You retain majority ownership and control
✓Joint bids treated as small business
⏱30–90 days SBA approval
⚠Does not prevent graduation
Standard Acquisition
Non-Disadvantaged Buyer
Sale to a standard acquirer — private equity, large prime, strategic buyer, or individual. Certification ends at graduation regardless. Buyer acquires past performance, vehicles, and personnel.
✓Clean exit — full liquidity at close
✕8(a) certification ends at graduation
⏱Standard M&A timeline (6-12 months)
💰Valuation based on revenue, not certification
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Structure Details
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Understand how ready your company is to execute any of these structures before entering a partnership conversation.
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