Most business owners think their business should be priced more than it's worth -- mainly because of all of their hard work over the years. But they have to realize there are certain economics and realities that dictate the price. Besides the various methods of business valuation, the cash flow ultimately must provide the new […]
This pandemic is hard and it’s not fair. And certainly no one could see the scope of its impact coming. As bad as it is for a business, it can be even worse for others. The business owner has to do everything possible to find answers by being creative, determined and providing leadership. By contacting […]
The days of the 5 and 10 year business plan are long over - everything is changing at such a fast pace. Business owners need to review their plan to determine what has already changed and forecast what could change - competition, technology, demand for the product or services of the business, etc. Plans must […]
Whether applying for a loan or selling the company, business owners must be prepared to disclose EVERYTHING. The business needs to look good -- in all areas. To not be disappointed, business owners must plan, address weaknesses, and be realistic in their expectations if they don't have solutions. Click here for a brief list of items […]
Most retiring business owners expect that their financial needs will be met when they sell their companies. Unfortunately, that is not always the case. Business owners should have a business valuation performed by an independent professional and then create an "Exit Plan" to close the value gap if one exists.
Many business owners have operated their companies for too long and have lost their interest or drive. As a result, the business can flounder and stop growing. Not only do revenues and profits suffer, but the value of the company goes downhill. And it only gets worse in a down economy. When a business owner […]
The most popular method of valuing a business uses a multiple of earnings over a period of years. Business owners should be aware of that while attempting to reduce the bottom line with personal expenses to minimize taxes. Though there are a number of deductions that may be added back to determine true cash flow, […]
Unfortunately, there are businesses whose market has changed so drastically that their products or services now have limited demand. And it might not be the economy! Those business owners may have to consider a whole new business model and get into the research and creative thinking mode. A good starting point is searching for ideas […]
The title to the 1969 song by the Rolling Stones seems to echo what the market tells some business owners. Many times the offers for the business are not what the seller would hope for. But if there are offers on the table, a business owner must take a hard look at those offers and […]
