Knowing If Your Business Is Ready to Sell or Transition
The key element in selling your business for maximum value is ensuring you own a business and not just a job. The biggest deal breaker when you want to sell your business is how involved/important the owner is to the successful operation and profitability of that...
Accounts Receivable
Accounts receivable may or may not be part of a sale, for reasons similar to cash, as discussed last week. Where it is left in, it is typically matched up with the payables (i.e., the buyer takes over the receivables, and pays the payables). Specific things to look...
Cash Flow is King!
Most business owners struggle with cash flow. This is especially true with new and with growing businesses. As long as you are growing, cash flow can be a challenge - if you double in sales, you could double in cash requirements. Last year’s profit probably won’t be...
Exit Strategies Versus Succession Planning
Like many people, I often get asked “So, what is it you do?” I usually start with a high-level overview, such as “I help people buy, sell, value, and improve their business.” If pressed, I elaborate on each of the areas I listed, because each dimension has its...
Buyers & Sellers: Business Valuation Approaches
One of the biggest questions business buyers and sellers have is: “What is this business worth?” The answer is never easy, but we can start by discussing some of the approaches business brokers and advisors take when we value a business. We will also discuss some...