17 Mar Around the Web: A Week in Summary
The following information has been sourced by Business Brokerage Press for the benefit of the business brokerage community. The views of these articles do not necessarily represent the views of Business Brokerage Press. We hope you find this information helpful.
A recent article from Forbes entitled “Lessons Learned From 15 Years In The Franchise Broker Business” offers advice for franchise brokers (or franchise consultants) to foster a successful career. This advice comes from Don Daszkowski, the Founder of IFPG which trains individuals to become Certified Franchise Consultants.
Don stresses the following helpful tips:
- Align with quality people who have a good reputation and who want to help others
- Build strong relationships with franchisors
- Form alliances that result in a win-win
- Be open minded and always strive to improve
- Offer as much value as you can
A recent article from JD Supra entitled “When Selling a Family Business, Advance Planning Is Key” provides an overview of three main phases of selling a business. To sell a business is a major undertaking in itself; adding family to the mix makes it that much more complex. However, a clear understanding of the process and proper planning can help make it a success.
The first major phase is preparation. This involves determining if any assets will be retained, how intra-family contracts will be handled, and what the preferred sale structure is. There is a large amount of information gathering and analyzing during this phase.
The second major phase is marketing the business. This involves developing a teaser, identifying buyers, NDAs, information review, and non-binding offers.
The third major phase is getting to closing. This involves LOIs, due diligence, negotiations, and a signed definitive agreement.
A recent article from Pallet Enterprise entitled “Should I Sell My Business or Stay?” discusses the prospects of selling a business in the pallet industry. This industry has seen an increase in mergers and acquisitions in recent years, making it a good time to consider an eventual sale.
When contemplating a potential sale, it is beneficial to consider what you envision for the future, your transition goals, your fears, your partner or spouse, and your family.
Once you have some personal clarity, it’s time to shift your focus to analyzing the business. This involves a valuation, identifying potential buyers, and enlisting the help of a transaction professional such as a business broker.
Next is preparing the business for sale. This means making sure accounting is in order, maintenance is up to date, staff is properly trained, and marketing is in full effect.