Most people who start their own business have dreams of going public and making millions of dollars. For some this is realistic, but for others it is not. This is not saying that those others should abandon their business, its just saying that their focus should be on something else, earning income.
High-tech companies with large venture capital funding and huge growth projections are on the path to an IPO. These businesses are run like public companies always trying to keep costs low and maximize profit. If an IPO does take place the investors profit handsomely.
On the other hand some companies cannot produce that kind of growth and therefore the IPO track is not for them. This is not a bad thing necessarily, in fact these companies can still make their owners very rich. What is important is to figure out what kind of company you are. If you are not expecting ridiculous growth and an IPO in the next 5 years then you should concentrate on maximizing your wealth in other ways. This includes tax planning and drawing income out of the business even at the expense of the bottom line. After all, if you are not going public who cares about the bottom line really? You can just take as much money out as possible and invest it in other vehicles.
The lesson here is to be realistic. Not everyone can be the next Microsoft but if you know what you are doing, you can still earn your fair share.
