16 Dec Around the Web: A Week in Summary
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A recent article from Kiplinger entitled “Selling Your Business? Beware of Potential Blind Spots” discusses the importance of planning for the sale of your business. Attracting buyers, finding the right buyer, and effectively transitioning the business all hinge on proper planning.
When preparing your exit plan, think about all of the potential outcomes. Blind spots should be taken into account so that you can avoid these potential issues. Common blind spots include purchase agreement provisions effecting payouts, time needs of the deal effecting the operation of the business, and tax implications.
A recent article from South Florida Business Journal entitled “Navigate the sale of your business in 6 steps” explores key steps in a successful business sale. Private equity groups and strategic buyers are currently very active in acquiring businesses. To capitalize on this opportunity, it is essential to attract strong buyers and maximize the sale price.
Consider the following steps:
- Engage an M&A advisor
- The vendor due diligence report
- The business valuation
- Defend against buy-side diligence
- Merger and acquisition (M&A) tax structuring
- Purchase agreement
A recent article from Forbes entitled “How To Let Go Of Your Baby – 6 Strategies For A Successful Business/Personal Transition” discusses the emotional and personal challenges a business owner may face when selling their business. After dedicating years to your business, it can be hard to say goodbye.
There are several strategies you might consider to help you get through this event:
- Recharge with a vacation to help you develop a new vision
- Determine how much money you need from the sale
- Develop a team of advisors to help you navigate the sale
- Think about your family responsibilities such as setting money aside for education
- Identify what kind of legacy you wish to leave
- Be open-minded as to what your next opportunity will be