In the sale of a business, confidentiality is VERY important. What happens when your critical employees must be informed prior to the sale? We recommend stay bonuses. A stay bonus incentivizes key employees to cooperate and assist with your sale. How much should the bonus be? There is no set… Read More »Should a Business Owner Provide a “Stay Bonus”?
Sellers and Buyers of businesses tend to have different opinions on adjusted financials that add back discretionary bonuses. They can come to an agreement upon understanding the meaning and timing of bonuses. The most important question to answer is “Are the employees really receiving a ‘discretionary’ bonus?” If employees have… Read More »Bonuses: To Adjust or Not to Adjust
Business owners are burned out, worn out, and past ready to get out. More than 1 in 4 business owners who put their business on the market this spring did so because of burnout according to the first-quarter survey of business brokers and M&A advisors conducted by IBBA and M&A… Read More »Burnout & Unsolicited Offers: Why Business Owners SOLD in 2021 Q1 and Q2!
Business owners are burned out, worn out, and past ready to get out. More than 1 in 4 business owners who put their business on the market this spring did so because of burnout according to the first-quarter survey of business brokers and M&A advisors conducted by IBBA and M&A… Read More »More Business Owners Selling Due to Burnout
Spanx founder Sara Blakely and her husband Jesse Itzler were asked, “What is the biggest characteristic that contributes to future success?” Ponder for a moment … how do you answer this? Are you coming up with some of the standard answers I’ve heard: Intelligence? Strategic thinking? Vision or subject matter… Read More »Grit = Success
Having talked with 100s of buyers and potential business buyers at all levels, there are 3 issues that we hear consistently: “I’m looking for a business with a minimum cash flow of X….” or some variety of that statement. X is the amount that the business provides the buyer after… Read More »Thinking of Selling Your Business: What Buyers Want!
When a business owner calls and says it’s time to sell, one of my first questions is: “How soon do you want to be out?” Typically, the answer is “Yesterday.” Unfortunately, business owners underestimate how long the process to sell a business actually takes. Once we sign our engagement agreement… Read More »Are You Ready?
As you’re thinking about selling your business, it’s time to plan your future. Because if you don’t spend time looking ahead, you’ll let fear of the unknown get in the way of actually moving into that future. We’ve seen it happen. After 20 or 30 years of running a business,… Read More »Business vs Future Identity
We have witnessed business owners who spent more time planning for a wedding (theirs or a child’s), their 25th or 50th wedding anniversary, and even a fantasy football draft, than planning for the sale of their business. According to the quarterly Market Pulse Report, we know that when it comes… Read More »Planning a Sale of a Business Takes Time
One of our mantras is: “Go ugly early.” When you’re selling a business, put those landmine issues on the table right away. Whether you’ve just lost a customer, your backlog isn’t what it was, or you’re operating at capacity—get it out ASAP. ‘Why would I do that?’ you may ask. ‘Won’t… Read More »Go Ugly Early!