As a business broker I answer a lot of questions about how to sell a business. One of my FAQs that I share with all business owners planning to sell is call the “Do We Use My Guy Or Yours?” While the “guy” could be a “gal,” the question is all about attorney selection. The point of that FAQ is that sellers must have legal representation when selling a business, whether it’s someone they already know or someone I’m going to recommend.
Here are s Read More>>
Every business faces risks, but some companies are riskier
than others. Assessing a company’s risk is an important part
of estimating its value. Risk and value are inversely related.
That is, the higher a company’s risk, the lower its value.
Risk is a function of a company’s external threats Read More>>
As any VR business intermediary will tell you, buying a
business gives you a greater chance of success than starting
one from scratch. 80% of new businesses fail in the first three
years due to factors such as poor location, low product quality,
under-capitalization and lack of management skills. Buying an
establ Read More>>
Since I’ve been a business broker and interviewed countless business owners, seen their options for exit and been a part of their exit planning, I’ve thought back on what I wish I had known when I started my small business in 2003. Here are three takeaways that I would have acted upon if i had the experiences and insight then that I have now…
The two ways to make money with a small business
You can make it along the way, or you can make it at the end. Businesses t Read More>>
When you are trying to sell a business, your main goal will be trying to attract the people that are serious about buying so that you don’t your time with people that are not.
To do this, you need to be serious about selling and there are a few things to do to make sure that you are.
Preparing Read More>>
I got asked not long ago for my opinion on Federal Antitrust Laws. I had to preface my answer that I am not an attorney, but my belief is that the central concern of federal government policy is with those acquisitions that increase the danger that companies in a particular market or sector will have “market pow Read More>>
The only thing worse than no professional
support is the wrong professional support. Ask these questions to secure the
Selling a business on your
own to save money is often a false economy, but hiring the wrong business broker is arguably even worse.
If you are to avoid
appointing a broker who is unscrupu Read More>>
All business brokers need a back-office
function to deliver whatever the business needs at any particular time. This means
that some business people invest in more capacity than they actually need, so
that their firm is not overrun at peak times.
However, working efficiently means
cutting away excess resource so that th Read More>>
Biz Finance Solutions
Have you felt the impact
of increased regulation on the small business sector? It seems that no matter which business vertical you are
involved in, some government entity wants to make sure you are carrying out
your business activities in a manner compliant with laws and regulations.
Some of these Read More>>
VR Sacramento, CA
I recently met with a business owner who, because of health problems, wants and needs to sell his business. He has a key employee that supervises much of the work that is performed by the company. He offered to sell the business to the employee, and they agreed on a price, with the seller carrying a Read More>>
I am sure most people have heard the term, “Settle on the Court House Steps”. As a consumer of legal fees, or client, most of us have been lead to believe that because of all the hard work an attorney puts into a dispute they have been able to negotiate a last minute resolution with the other party for s Read More>>
VR Charleston, SC
Starting or buying a business is a big step for most people and trying to find the right business for your particular skill set can be difficult. Becoming a VR Business Brokerage owner should be evaluated just like any other business you might consider. To be successful at VR you will need to have a c Read More>>
In every profession there are ethical and moral representatives, and unfortunately those who taint their own industry. With all the attorney jokes, and off color remarks people make about lawyers here is just one reason they earned it…
It is called “Block Billing”.
This is a form of invoicing you Read More>>
VR - Marketing
Keeping your online presence can seem overwhelming at times. Things change rather quickly in the virtual world, but keeping up with your marketing practices can mean more business! And more business means your company will be worth more when it is time to sell! Here is a very quick checklist of things you or Read More>>
Charles Winn Cox, P.A.
VR Boca Raton, FL
Good question and not easily answered. A license is merely authorization to do a particular thing in
accordance with the issuing authority's policy, regulation or law. In this case we think of issuing
authority as being a State. To find
out if the State requires a license, you can now do so Read More>>
VR Aspen, CO
If you are a real estate agent thinking of becoming a business broker, or to adding business brokerage to your current real estate practice, there are some similarities as well as some critical differences between the two practices to keep in mind. Success in real estate brokerage takes local knowledge of t Read More>>
Financial forecasters say that the US’ 70,000,000 Baby Boomers are all set to make waves
in the American economy. With a great number of this demographic owning
businesses and planning to retire, some predict a 'tsunami' of Baby Boomer
enterprises will hit the business sales market – though fewer are disposed t Read More>>
Prepare a Selling Memorandum when marketing a business to sell. The selling memorandum is a written summary which outlines the selling features of the business, highlighting those points which would be of interest to a prospective purchaser. The package acts very much like a brochure on the business. It pr Read More>>
1. Owner's Salary
Most business owners do pay themselves some salary on the books. The key here is whether there are other members of the family included in the payroll expense, and whether or not these individuals serve a function in the business. (A buyer can only replace one salary, so be careful which salary(s) Read More>>
While writing an offer may seem like the final or ultimate step to the buyer, it is really just the first step in the process. It starts the negotiations process and sets the ground work to determine how flexible a seller might be. If a buyer, writing an offer should be relatively straight forward. The key Read More>>
The ABC's of small business sales are the sequence of events, the basic steps, which should be taken to be successful in the business broker industry. These basic steps are outlined below and explained in detail in the subsequent sections of the course. They form the basic backbone of the VR system of sales.
The se Read More>>
A Business Intermediary will come in contact with the business sellers and build a listing portfolio by using six key methods of prospecting:
· Personal Networking
· Telephone Call
· Direct Mail
· For Sale By Owner (FSBO)
· Centers of Influence (attorneys, Read More>>
Your effectiveness as a listing agent depends on your ability to make a good listing presentation to a potential seller.
Professional business intermediaries understand that the key is to determine the seller's true motivation for selling. You must discover how far along the seller is in the "thinking about it" sta Read More>>
Canvassing by telephone offers a secondary method of reaching business owners. Although nothing replaces the impact and rapport of a face to face meeting, a phone call does have a number of advantages. The primary advantage is efficiency for your time management. Obviously, you can reach more people by cal Read More>>
The key to good observation and listening skills is to build a better picture of how the seller or buyer is likely to react. You want to anticipate reactions so that you can solve problems before they become an issue.
To build this picture, it is helpful to use a model to describe general personality types. Althoug Read More>>
Just as listening and observing skills are important, so are careful, well thought out communication skills. With important decisions such as buying or selling a business, it is critical to convey each point carefully. Equally important is that the recipient interprets a point in the way it was intended. O Read More>>
What is an intermediary you ask? According to Google, it is “a person who acts as a link between people in order to try to bring about an agreement or reconciliation; a mediator.”
As business broker practitioners, we prefer to refer to ourselves as “intermediaries” to enhance the professiona Read More>>
Whether you are seeking to buy or sell a business, networking can be an invaluable resource to gain both perspective and information.
The overall importance of not “being an island,” but rather being actively involved in both your local business community and local area community is imperative to be sur Read More>>
Meetings can be either extremely effective or a big waste of time. The difference in the outcome depends on the planning that takes place beforehand.
1. Establish a Meeting Objective and Stick to it
Effective meetings serve a useful purpose. This is because an objective is outlined and all conversation i Read More>>
Your team can make or break your business. Finding and hiring the right people that are superior fits for the important positions in your company is essential to a productive and profitable company.
It is well worth the investment in time to plan and understand the necessary steps to define rolls and recruit the be Read More>>
In order to be both a successful entrepreneur—and a successful business person—you first need to become a successful leader.
The ability to keep your staff and service providers motivated and on track can be the single most important aspect of your everyday life.
Great leadership is a quali Read More>>