Where you go to buy or sell a business…..

As small business owners, we are tied to our businesses, in mind, body and spirit.  We need our businesses and our businesses need us.  But, it is inevitable that a time will come when we can no longer be there for them. Whether we accept it or not, we are mortals.  We must eventually hand [...]

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As a business broker I encounter business owners contemplating the sale of their business on a daily basis.  One of the most puzzling questions for these exiting owners is, “Where do I start?” While there are a thousand things to consider when selling your business, the first and most important question to answer is, “what [...]

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When hiring a valuation expert to opine to the value of your business don’t be shy about looking into the valuators qualifications and background.  While there is no substitute for experience, education is essential. Make sure that the business valuation professional you hire holds at least one of the following designations: Accredited Senior Appraiser (ASA) [...]

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Far too often business buyers and brokers rationalize the purchase price of a cash negative business by the value of the fixed assets available for sale.  The argument goes that if the value of the tangible assets is X, the business must be worth at least X because, even on the rainiest day, one could [...]

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Now that we are comfortable deriving acquisition multiples using the Guideline Company Method and the Similar Transactions Method, we must learn how to select the proper multiple before applying it to our subject Company and reaching a value conclusion. It can be reasonably assumed that a prudent investor would pay more for the controlling interest [...]

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