Business Broker's Blog for Sellers and Buyers
Sell Your Business and Retire – What You Need to Know.
- Published: 13 December 2013 13 December 2013
Read a great article in the December 2013 issue of Entrepreneur Magazine (“Ask the Money Guy” column) that discusses the issues surrounding the prospect of selling a small business to fund retirement.
What Would Your Business Sell For?
- Published: 07 August 2013 07 August 2013
A commonly accepted method to price a small business is to use Seller’s Discretionary Earnings (SDE) and applying a multiplier. Essentially, SDE is an estimate of the cash flow the business produces for one working owner. The multiplier is developed from the characteristics of the business and/or sales of similar businesses.
Burnout: An Ever-Present Threat
- Published: 09 July 2013 09 July 2013
Burnout is an often-used reason for an owner selling his or her business. Potential buyers may have trouble accepting this as a valid reason for sale. However, burnout is a valid reason for selling one’s business.
Time to Create an Exit Strategy?
- Published: 04 June 2013 04 June 2013
There is the old adage that says: “The time to develop an exit strategy is the day you open for business.” Sounds good, but not very realistic or very optimistic.
What’s Unique About a Particular Business?
- Published: 07 May 2013 07 May 2013
Most business owners think that their business is unique, but what are the factors and attributes that really make a business stand out from others. There are key factors that make a business both unique and, at the same time, make it more valuable in the marketplace and more desirable to prospective purchasers.
You want how much for your business ???
- Published: 05 April 2013 05 April 2013
This question is often a potential buyer’s first response when given the price of a business – often accompanied with an expression of astonishment. Especially when a very profitable business has few tangible assets. The difference between the actual physical assets and the asking price is often called “blue sky.” Goodwill has often been a prime force behind the blue sky concept; goodwill has been called many things – very few of them good.