24 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 Viking Mergers & Acquisitions entitled “5 Ways to Grow the Value of Your Business” explores way to maximize the sale price of a business. This can be achieved by reducing buyer risk and increasing the appeal.
Five areas to focus on for higher business value include:
- Maintaining quality books and records
- Having a good management team in place so that the business is not reliant on the owner
- Developing a reliable staff with good employee retention
- Creating a positive company culture
- Establishing strong brand recognition among the target market
Click here to read the full article.
A recent article from Troy Media entitled “Seven ways to exit your business” discusses what business buyers are looking for, key factors in exiting a business, and possible ways to do it.
Buyers are looking for profitability, non-reliance on the owner, documented systems and processes, recurring revenue, growth potential, and multiple revenue streams.
Key factors include the level of confidentiality of the sale, the desired sale timeline, and how prepared the owner is.
Potential ways to exit a business include liquidation, family succession, merge with a competitor, selling to employees, selling to an investor, selling to a strategic buyer, and selling to a private equity firm.
Click here to read the full article.
A recent article from SeedLegals entitled “Exit strategy: what it is and why you need one” discusses common exit options and why the exit is so important. Planning ahead can help a business owner maximize their return when it comes time to exit.
An exit strategy is important because it gives you a roadmap, creates a cash out for the owner and investors, offers an escape hatch if things don’t go as intended, and investors expect it.
Exit types include an initial public offering, merger & acquisition, management buyout, and liquidation.
