Buying & Selling a Business

Map Guides Business Owners to Maximized Payday

Business owners find their motivation in varied things. Commercialize a pioneering methodology. Be one’s own boss. Prove naysayers wrong. Provide a great place for people to work.

While every entrepreneur has his or her unique set of goals, virtually all share one in common — to one day sell for a boatload. How much? Well, more is better. And so the question every business owner asks is: “What can I do today to maximize the eventual sale price of my business?”

The Ideal Situation for a Management Buyout

Thousands of sources of equity capital in the U.S. and around the world are willing and able to pay top dollar for great companies, leave the tenured management in place, provide meaningful ownership to the manager or management team that remains, and mentor and support the new owner-managers in continuing to grow the business.

Focus on Value Drivers to Maximize Business Value

The day will come when you want out. Given all your hard work and sacrifice, you deserve a big pay day. So, why not set yourself up today for that to happen?
As it turns out, buyers have a lot in common. Below is a list of characteristics that, when present in a business, entice buyers to [...]

Non-Competes as Part of a Business Purchase or Sale

Non-compete clauses are an important part of any business purchase or sale although the weight of the issue depends on the seller’s overall involvement in the company. A business buyer must nail down a myriad of issues in a non-compete agreement but one of the key questions to be answered is if the seller is going to remain with the company or move on with his/her life.

How to Maintain Confidentiality When Selling Your Business

One of the most troublesome obstacles to selling a business is the issue of confidentiality. But the most challenging issue is not how to keep the project confidential. Rather, it's the challenge of dealing with confidentiality in a way that does not block or severely hinder the owner from finding the right buyer.

Getting the Highest Possible Sale Price for a One-of-a-Kind Asset

When selling a one-of-a-kind asset, how do you estimate "fair price"?

How do you know whether an offer is "high"?

How do you determine what price is absolutely the highest sale price possible?

Business Sale by IRC Sec. 338

Every business purchase and sale transaction must be structured as either an asset sale or stock sale. But the method chosen has substantial tax and liability implications for the buyer and seller - in completely opposite directions.

The Right Time to Sell Your Business

When is the right time to sell my business? When is it worth top dollar? When is the market hot? Read more.

Don’t Sell. Retirement’s for Wimps!

Heck no. You don't have to retire. Strom Thurmond remained a U.S. Senator through the age of 100. Dwight Hauff is 101 and owns Hauff Sporting Goods in Sioux City, Iowa. Jack Weil is 104 and still owns Rockmount, a Denver-based manufacturer of Western shirts. Carl Stevens is 86 and owns Total Plumbing.

Recasting Financial Statements

Buyers of private companies purchase businesses for the profit they generate, or can generate. They look at the past as an indicator of the business' ability to generate cash or profits. They also look at the value of the assets, liabilities and equity of the business. For private companies, the financial statements often do not reflect the true profitability and asset values of the business.