Financial and Strategic Buyers If you decide to sell your business to an outside acquirer, you’re going to have to decide between a financial and a strategic buyer. Understanding the different motivations of these two buyers can be the key to getting a good price for...
How to Negotiate a Great Deal Far too many prospective business buyers and sellers overlook just how important negotiations can be. But they can also be tricky. In general, there are three approaches to negotiations. Thinking through your negotiation strategies well before the time to buy...
Due Diligence and Buying a Business You have found a business that looks great but you want to make sure it is performing as well as the Seller claims. It is time for due diligence! Most of the time, a Seller will not give you all the...
When it comes to selling a business, sellers simply must pay attention to red flags. Problems can always pop up, and that's why they need to keep their eyes open. Rarely does a “white knight” ride in and rescue a business with no questions asked....
Buying or selling a business is one of the most important decisions that most people ever make. Before jumping in, there are several points that should be taken into consideration. Let's take a moment to examine some of the key points involved in...
Personal goodwill can have a profound impact on both small and medium-sized businesses. In fact, it can even impact the sales of larger companies. Ultimately, understanding how personal goodwill is cultivated is of great value for any company. During the process of building a...
A recent article posted on PR Newswire entitled “Business owners' love of work may hinder succession planning” explains the parallels between the number of business owners with no plans to retire and the lack of succession planning. In a recent poll, over 70% of business...
If you are an independent business owner, you are most likely also an independent business seller–if not now, you will be somewhere down the road. The Small Business Administration reports that three to five years is a long enough stretch for many business owners...
Built to Sell If you own a business, no matter what size, this book - Built to Sell by John Warrillow - is an excellent read. Truly eye opening to me!! It is super important to think strategically and start planning early for your exit. If your...
Can two companies in the same industry have very different valuations? In short, the answer is a resounding, yes. Let's take an example of two companies that both have an EBITDA of $6 million but with two very different values. In fact,...