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Representations & Warranties in Purchase Agreements

In M&A transactions the purchase agreement will almost certainly contain representations & warranties (R&Ws) made by both parties regardless of the type of purchase agreement utilized, asset purchase agreement, stock purchase agreement or merger agreement. This post by no...

Small Business Acquisitions Grow 10% in Q1

Small business acquisitions grew 10% over the previous year and 3% over the previous quarter, according to BizBuySell’s Insight Data, which tracks and analyzes U.S. business-for-sale transactions and sentiment from business owners, buyers, and brokers. A total of 2,384...

Size Matters & Industry Matters

Size Matters / The Industry Matters Several months ago, we were working with a client to complete a market value analysis. In addition to the conclusion of value (range), we identified several potential obstacles that if eliminated or mitigated...

Know Where You Are At BEFORE Planning Where You Are Going

Analyze your company across the following criteria. You may realize that there are some easily achievable changes that will increase your company’s value. Goodwill – Does your company contain “personal goodwill” or “entity goodwill”?  Does the goodwill reside with...

Understanding Earnings Adjustments

Most owners of small to medium size businesses (SMB) use every legal trick in the book to avoid paying a penny more federal and state tax than they absolutely must. You probably know that one of the biggest advantages...

The SWOT Analysis (Strengths, Weaknesses, Opportunities, Threats)

At some point in the future, you will consider selling your company. Before you arrive at that moment consider increasing the enterprise value of your company NOW by performing a SWOT analysis and make important improvements. Here are some...

Qualities to Consider in a Business Advisor

Being an advisor representing a client’s interests regarding the sale of their business requires many different skills. All of us who call ourselves “advisors” have varying strengths and weaknesses when it comes to these required skills. For example, many...

Increase Your Company’s Value Before Selling

Analyze your company across the following criteria. You may realize that there are some easily achievable changes that will increase your company’s value. Goodwill – Does your company contain “personal goodwill” or “entity goodwill”?  Does the goodwill reside with...

Helpful Financial Ratios for Business Sellers

As a business owner you should be preparing an exit plan that should include an analysis of the performance of your business. Every business owner wants to exit the sale of his company with as much proceeds as possible...

Identify Your Obstacles

To experience a successful closing be prepared to mitigate the buyers concerns by understanding that they are going to be naturally skeptical and perhaps even coming across as suspicious. They are trying to mitigate risk! Hopefully your advisor has...

Arizona’s Economy Back on the Beat

The Arizona economy continued to churn out solid gains through the first half of 2023. Jobs, wages, and sales all increased, although at a somewhat slower pace than earlier in the pandemic recovery, and the unemployment rate remained very...

International Business Brokers Association “Market Pulse Report” Q2 2023

The International Business Brokers Association / M&A Source has just released their “Market Pulse” survey for Q2 2023. This national survey was conducted with the intent of providing a valuable resource to business owners and their advisors. This survey...

Performing Small Businesses Standout in a Difficult Market

If you own a business that is “holding its own” or “excelling” in this difficult environment, you may be in the proverbial “Catbird Seat”. We are seeing pent-up demand from both private equity and financial buyers who have capital...

Our Ugly Secret….80% of businesses on the market DON’T SELL!

We, in the M&A world call it the 80% rule. 80% of buyers never buy anything and 80% of businesses on the market don’t sell. Through my professional experience of 25 years and observations within the industry I must...

Embrace Due Diligence

Hello! Most sellers and the typical broker, dreads the due diligence phase.  To achieve a successful transaction, you must endure due diligence, so you might as well embrace it.  So, you’ve received an offer and a successful closing is...

Secrets of the Sale (A Practical Guide for Sellers)

Before Meeting with Broker You Should … Write down your goals for the sale. Know what you must net from the sale. Review everything you’re selling. Is it organized?  Working?  Does it look good?  Is it necessary? Is it...

Add Value by Creating Systems and Documenting Operations

Buyers are naturally skeptical and concerned the business will continue to operate profitably after the owner’s departure.  By systemizing and documenting your business operations and by developing second-level management, you can alleviate this obstacle. A good place to start...

Is the Advisor playing to your ego………Run The Other Way!

Selling a business is a complex undertaking.  A good M&A Advisor has the knowledge and experience to manage the process, which requires ability in multiple disciplines including accounting, finance, taxes, law, business improvement, valuation, marketing, sales, interviewing, written and...

8 Ways to Increase Value

The presence of attributes that can make your business more valuable at the time you take it to market are the same attributes that must be present for growth.Simply put, if you have taken the time and made the...

Strategic Buyer or Financial Buyer

Depending on the size and nature of your company, the universe of buyers that are in acquisition mode or contemplating an acquisition may include buyers within these categories:Strategic Buyers: these could be a competitor of yours or a company...

Phoenix Area Economic Performance better than Tucson but not great

Eller College of Management’s First Quarter Forecast Update The Eller College of Management produces a quarterly update and forecast that always contains interesting information and data. Modest improvements in job growth, population growth and income growth are expected for...

10 Interesting & Helpful Articles for Business Owners

I read a lot to stay current and up to date regarding economic and business trends and have always felt that continuing education is a key ingredient in the success of business ownership. While reviewing some of my favorite...

Importance of the Executive Summary

Most successful M & A Intermediaries use multiple platforms to market a client’s business for sale. As you know most of us utilize various business for sale websites as the primary marketing platform along with proprietary websites, mailing lists...