Pratt's Stats, the leading private company merger and acquisition (M&A) transaction database, announced its 2014 Q3 Hall of Fame contributors and named 4 Colorado business brokerage firms, who are also CABI Members. Congratulations to the following firms: Broker Name Firm Name Firm Location Paul Chambliss Front Range Business, Inc. Boulder, CO Ronald Chernak First Business Brokers, Ltd. Colorado Springs, CO Jim DeShayes Colorado Business Exchange Fort Collins, … [Read more...]
Archives for October 2014
The Deal Is Almost Done — Or Is It?
October 8, 2014 by
The Letter of Intent has been signed by both buyer and seller and everything seems to be moving along just fine. It would seem that the deal is almost done. However, the due diligence process must now be completed. Due diligence is the process in which the buyer really decides to go forward with the deal, or, depending on what is discovered, to renegotiate the price – or even to withdraw from the deal. So, the deal may seem to be almost done, but it really isn't – yet! It is important that both … [Read more...]
Selling Your Business? Expect the Unexpected!
October 8, 2014 by
According to the experts, a business owner should lay the groundwork for selling at about the same time as he or she first opens the door for business. Great advice, but it rarely happens. Most sales of businesses are event-driven; i.e., an event or circumstance such as partnership problems, divorce, health, or just plain burn-out pushes the business owner into selling. The business owner now becomes a seller without considering the unexpected issues that almost always occur. Here are some … [Read more...]
Do You Know Your Customers?
October 8, 2014 by
It's always nice, when eating at a nice restaurant, for the owner to come up and ask how everything was. That personal contact goes a long way in keeping customers happy – and returning. It seems that customer service is now handled by making a potential customer or client wait on a telephone for what seems like forever, often forcing them to repeatedly listen to a recording saying that the call will be handled in 10 minutes. Small businesses are usually built around personal customer … [Read more...]
Three Basic Factors of Earnings
October 7, 2014 by
Two businesses for sale could report the same numeric value for "earnings" and yet be far from equal. Three factors of earnings are listed below that tell more about the earnings than just the number. 1. Quality of earnings Quality of earnings measures whether the earnings are padded with a lot of “add backs” or one-time events, such as a sale of real estate, resulting in an earnings figure which does not accurately reflect the true earning power of the company’s operations. It is not … [Read more...]
A Listing Agreement is More than Just a Piece of Paper
October 2, 2014 by
In order to sell one’s business using the services of a business broker, a listing agreement is almost always required. For the owner of the business, signing the agreement legally authorizes the sale of the business. This simple act of signing represents the end of ownership. For some business owners, it means heading into uncharted territory after the business is sold. For many it also signifies the end of a dream. The business owner may have started the business from scratch and/or taken … [Read more...]
