Identifying Legitimate Red Flags when Performing Due Diligence By Peter C. King, VR Business Brokers/Mergers & Acquisitions, CEO Due diligence is the process of determining whether representations (legal, financial and otherwise) made by a seller are true; and whether the buyer's proposed bid is fair based on those representations. The purpose of due diligence is to uncover weaknesses or uncertainties that might prevent the transaction from meeting a buyer's desired goals. In today's environment, companies that are considering a merger or acquisition must devote considerable time and energy to performing due diligence. But inexperienced buyers may feel uncomfortable with the process, unsure what they should be looking for and what might constitute a legitimate red flag. |
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Beware the Signs By JoAnn Lombardi, VR Business Brokers/Mergers & Acquisitions, President Important Elements a Buyer Needs to Consider in a Business Sale Experienced entrepreneurs who have bought a business before will have an advantage over a business owner who is experiencing selling their business for the first time. That being said, most buyers have a very difficult task because of the due diligence portion of the transaction is typically an area that they have no prior experience with performing. The facts have to be uncovered through a comprehensive and thorough investigation. At VR, we will assist you in identifying items that should be scrutinized carefully. Reviewing the Industry When you consult with a VR business intermediary, we will review with you industries that closely match your interests and background through what is referred to as a SWOT analysis. Here, you will review an industry’s strengths, weaknesses, opportunities and threats. We will determine through the SWOT analysis the type of customers and vendors for an industry that you will find the most success. |
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3 Keys to Success for Infrequent Acquirers There’s good news and bad news for middle market companies looking to acquire a business for the first time. The bad news is that the failure rates for less frequent acquirers tend to be high. This is usually the result of limited deal experience or too lax an approach to the challenges of integration. The good news is that first-time acquirers and the targets they buy tend to be less complicated and therefore easier to integrate (though of course there are exceptions). So proper focus on the integration process can make a huge difference. |
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The 5 States for Small Business Ownership in 2018 Small businesses are the backbone of every state and local economy. No matter how large or small, every small business creates jobs and encourages the exchange of money that fuels the economy. So it was no surprise when we launched our 2018 State of Small Business survey, in partnership with Lending Club, that respondents were finding business success in every corner of the country. There were, however, some states that stood out as top hot spots for small business. Whether success in these states is driven by a large population, high income per capital or benefits unique to the geography, all of these locations have interesting small business trends lending to their success. Here’s a list of the top states for small business as well as some of the most important trends in each location. |
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Your dream business awaits you...take advantage of these featured opportunities VR has for sale now! Exquisite Restaurant and Lodge | $695,000 | Naples, FL Long Established Profitable HVAC Business | $1,250,000 | Aspen, CO |
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VR Located in San Antonio, TX is assisting in the sale of a Multi Award Winning Thai Restaurant
A well established and recognized Thai restaurant, located in Texas. This restaurant offers a wide range of authentic Thai selections for a relaxed dining experience or for takeout meals. This business has developed a great reputation for its fresh and healthy ingredients. It has been named one of the Thai Top restaurants in Texas. With great reviews in Yelp. This could be a Semi-Absent Business for an Experienced Buyer. |
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Congratulations VR in Apollo Beach, FL for Closing Deal with Electrical Services Contractor |
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Profitable service/repair electrical contractor established for 20 years in Hillsborough County, FL. Company has an experienced team of 28 staff (4 managers) and can field 11 service crews at a time. The vast majority of work was residential and light commercial service work, with almost no reliance on new construction. Was a great bolt-on business for existing electrical contractor because of proven business with repeat clients and consistently high profit. Owner provided high level supervision, invoicing, and problem solving. Co-owner (spouse) managed billing and some HR. |
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Established Profitable Commercial Cleaning Business | $250,000 | Aspen, CO Thinking of selling your business or looking for an established business to purchase? Contact a VR Office near you! |
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Have you ever considered selling businesses? |
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