Posts

Showing posts with the label sell my business

Confidentiality in the Business Sale and Why is it so Important

Image
A close up of the tab from a confidential file folder. When you are buying or selling a business confidentiality is one of the most important factors.  Now to the novice negotiator, buyer or seller with a lack of experience or understanding of all the things that can go wrong you may find that odd but let me explain. First….the sale of a business is a private matter and the only people who should be involved are those necessary: Buyer, Seller,  Broker  if there is one,  CPA’s , and  Legal Counsel .  That’s it.  No one else has a need to know.  As a seller who spends a lot of time with employees, there is often some emotion and misguided feelings of emotion/loyalty borne out of concern for your staff. But I would charge that to be misguided.  Here is how sellers should look at the deal:  Employees should be focused on their job and job alone.  The sale is to be handled by the players hired to manage the transaction.  Any tim...

When and How Do You Communicate a Business Sale?

Image
Confidentiality and Your Business Sale? March 15, 2018  by  Michael Shea PA   (Edit) When to Communicate the Sale of Your Business The decision to sell your business is a big one; it is an important decision likely to affect the lives of many. As a result, it is crucial to keep the sale and all negotiations for the sale of your company as confidential as possible. Likely to affect your clients, employees, vendors, and competitors, it is best to ensure any positive, or potentially negative, reactions do not affect the final sale of your hard work. It is best to wait until the end of the negotiation process to tell all interested parties. Although communication is a critical element of operating a successful business, there will be times when you can’t share everything with your employees and clients. Once you have decided to sell your business, you need to be careful not to say too much. Be selective and strategic about who you share information with during the s...

Breakfast Lunch Restaurant for Sale

Image
Breakfast & Lunch Restaurant 2301-90969 ← Back Request More Information Description Successful breakfast and lunch restaurant established for 13 years. This restaurant is the place for locals and seasonal travelers. Great location 2700 sq ft corner unit in a nice plaza. Simple menu serving up breakfast and lunch favorites. Open until 2:00 means you can be home in the evenings with this solid breakfast lunch operation. E2 and L1 doable. Listing Details Price:  $220,000 USD Down Payment:  $220,000 USD Gross Revenue:  $600,000 USD Sellers Discretionary Earnings: $120,000 USD Category:  Restaurants, Breakfast Lunch, Diner, American Restaurant Location:  Polk, Florida Employees:  6 Years Owned:  13 FF&E:  $60,000 USD Reason for Selling:  Retirement Transworld Business Advisors is the world leader in the marketing and sales of businesses, franchises and commercial real estate. Wheth...

Recaps For Small Businesses Good Or Bad?

Recaps for Privately Held Businesses, Good Or Bad? November 20, 2017  by  Michael Shea PA   (Edit) What’s a Recap and Why Should I Care? Definition: A Recapitalization or Recap is a financing technique used typically by private equity investors to invest in privately-held businesses that allow the existing owner to restructure the debt and equity of their company to either obtain new capital for future business growth and/or to reduce their personal financial risk by taking some chips off the table. Recaps are typically structured in such a manner as to repay any existing debt that has been personally guaranteed by the existing owner. This is one of the main benefits in that it reduces the owners’ personal financial risk from their personal guarantees on bank loans, capital leases, etc. If a “Black Swan” event occurs and the business flounders, the owner has at least taken substantial money off the table and avoided losing everything. Recaps include a reducti...

Business Brokers: How to choose the right firm for your business sale

Image
Business Brokers: How to Choose the Right Business Brokerage Firm November 8, 2017  by  Michael Shea PA Buying or selling a business can be a stressful time. Choosing an adviser to help you through the critical steps in the process is key to a successful transaction. From research to close, it is important to understand what your business broker will do for you, know the costs associated with hiring a broker, and conduct a careful evaluation of their track record and success. What Your Business Broker Will Do for You: A broker is an individual who works as part of a business brokerage firm and is experienced in both business and business sales. Business brokers put buyers and sellers in touch with one another and act as a helpful mediator, promoting a productive discussion that ultimately benefits both parties. Buyers: If you are buying a business, a business broker will work with you from the very beginning to understand your interest in purchasing a busines...

5 Steps to Selling Your Business

Image
Selling a business is rarely an easy decision to make and there can be a great deal of complexities involved in the process. Most importantly, before finding a qualified broker to proceed with the transaction, you’ll need to take several important preliminary steps to prepare yourself and your business. Timing is Everything Selling requires careful planning and Transworld is here to help. We will help you consider the business’s ability to sell, its readiness, and your timing. The old saying that the early bird gets the worm is also true when it comes to selling your businesses. Preparing for the sale as early as possible will help you improve your financial records, business structure, and customer base. These improvements will also ease the transition for the buyer and keep the business running smoothly. Ideally, owners should begin getting their businesses ready to sell before they hope to close a deal, to slowly wean themselves from the day-to-day responsibilities and gett...

Confidentiality is critcal when selling your business

Image
Confidentiality is an important factor in the successful sale of any business and should be taken seriously. Preserving the value-adding aspects of your business like your customer base, relationships with reliable vendors, experienced employees, and your market share helps you command a good price for your company. A breech in confidentiality can create havoc for a seller trying to sell it for the highest possible value. Unfortunately, in many cases, when the word slips out that you are looking to sell your business, people can’t help but talk. And that is when the rumors start, which can spread as quick as wildfire. It’s human nature to resist change. The rumors may start to make your employees feel anxious and worry about their future. They may start looking for new jobs and also share the concerns of the business sale with your customers. This could trigger a negative reaction and your customers might start looking for another business to work with. When customers and em...

Goodwill When Buying or Selling A Business

Image
Goodwill When Buying or Selling A Business October 31, 2017  by  Michael Shea PA   (Edit) man and woman shaking hands in front of laptop A business’s true worth is often far more than the value of its individual parts. When buying or selling a business, goodwill represents the value of the business that is above and beyond the worth of separately identifiable tangible business assets. Unlike physical assets, like buildings or equipment, goodwill is an intangible asset. What Are the Factors that Contribute to the Creation of Business’s Goodwill? Business goodwill reflects the synergy among the various assets in a well-run business that are used to generate revenue. Although it can be difficult to price, determining the value of goodwill can make a company more valuable. However, since the components that make up goodwill have subjective values, there is also a risk that a business could over or undervalue goodwill during a business valuation. Business owners may be...
Image
Kid’s Indoor Playground 2301-86812 ← Back Request More Information Send Via Email Description Unique walk-in indoor playground and party facility that you won’t find anywhere else! For children who are under 8 years old only. Original Location of Master Franchisor. Easy to run and profitable. Contact Agent and Fax NDA. E2 Visa doable Listing Details Price:  $450,000 USD Down Payment:  $450,000 USD Gross Revenue:  $309,089 USD Sellers Discretionary Earnings: $106,701 USD Category:  Child Care, Childs Play Center Location:  Seminole, Florida Employees:  5 Years Owned:  3 Inventory:  $3,000 USD FF&E:  $200,000 USD Reason for Selling:  Discuss with Seller Transworld Business Advisors is the world leader in the marketing and sales of businesses, franchises and commercial real estate. Whether you represent an acquisition-minded corporation, or are personally interested in owning ...