19 Nov 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 “10 Things To Do Before Selling Your Business” offers advice for business owners to help them prepare for the sale of their business. Selling a business is a huge decision that requires proper planning.
Consider the following action items prior to selling your business:
- Figure out how much your business is worth
- Assemble your deal team
- Determine the right deal structure
- Organize your financials
- Prepare documents for due diligence
- Separate business expenses and personal expenses
- Market the business for sale confidentially
- Get a purchase agreement in writing
- Keep the sale quiet until it is completed
- Utilize a legal professional for the closing
Click here to read the full article.
A recent article from Richmond Times Dispatch entitled “Ask SCORE: Do your due diligence when buying a business” discusses what a buyer might want to look at when considering the purchase of a business. It is important to thoroughly investigate a business prior to closing on it.
The following are items that you may wish to add to your due diligence checklist:
- Financial data such as tax returns and balance sheets
- Physical assets
- Insurance policies
- Employee information
- Customer information
- Legal issues
- Entity status
Click here to read the full article.
A recent article from KSL.com entitled “5 steps to take today to prepare to sell your business” explores actions business owners can take in the years leading up to the sale of their business. To get the most out of the sale, it is best to start this process several years in advance.
5 ways you can prepare for an eventual business sale include:
- Track market and industry trends to help determine when it is a good time to sell
- Get a professional business valuation and identify vulnerable aspects of the business that you can improve upon
- Create and implement a plan to increase profits, which will increase the value of the business
- Organize your financials and have your accountant review them
- Work with a financial planner for tax planning
