Blog
How are businesses priced?
Generally, at the outset, a prospective seller will ask the business broker what he or she thinks the business will sell for. The business broker usually explains that a review of the financial information will be necessary before a price, or a range of prices, can be suggested for the business. Most sellers have some […]
What is the real reason people go into business for themselves?
There have been many surveys taken in an attempt to answer this question. Most surveys reveal the same responses, in almost the same identical order of priority. Here are the results of a typical survey, listed in order of importance: 1. To do my own thing, control my own destiny. 2. Don’t want to work […]
Why should I buy a business rather than start one?
An existing business has a track record. The failure rate in small business is largely in the start-up phase. The existing business has demonstrated that there is a need for that product or service in a particular locale. Financial records are available along with other information on the business. Most sellers will stay and train […]
Why A Partnership?
There are two primary reasons why one should have a partner. Either you need someone to share the work load or you need someone to share the cost and the investment until your business is running profitably. All other reasons are secondary.A few other reasons people use to justify having partners are: emotional and psychological […]
Key Points in Determining How Saleable Your Business May be
What are you doing to build value in your business? Do you delegate authority to key employees? Is your business scalable? Is your business sustainable without you? If your answers are not much, no, no, and no respectively then your business may have very little if any resale value beyond liquidation of its assets. However, […]
Lease Guarantees
Every landlord prefers to have the full term of their premise lease personally guaranteed by the prospective buyer of the business or by a prospective new tenant. It has surprised me over my thirty-five plus years spanning my careers both as a business owner of as many as ten retail and service facilities at one […]
Navigating the Sales Transaction
When a Seller hires me or my company to represent him or her in the sale of their business, successfully navigating the business sales transaction generally involves a seven step process from the start of the process to a successful sale and to the close of the transaction. 1. Gathering information to learn about their […]
Selecting a Broker to Sell Your Business
Once a decision is made to sell your business selecting a professional business broker or a business intermediary to broker the sale of your business is the next step. The terms business broker and business intermediary are sometimes synonymous but generally imply a different level of expertise and differences in their typical transaction values. Frequently, […]
Why a Business Advisory Service is a Wise Investment
With increasing frequency buyers are hiring me to help them evaluate prospective businesses they are seriously considering purchasing. Sometimes, they identify opportunities by themselves and other times they correctly recognize that the business broker or intermediary who has listed the business is working for and being paid by the Seller and therefore only represents the […]
No Offer is Good Enough: A Common Fallacy
Some business owners feel no reasonable offer is enough to entice them to sell their business. Some, especially those who founded, built, nurtured, and grew their businesses may fall into this category. They probably invested most of their capital to launch their business and worked long and hard hours and have more sweat equity invested […]
