Dont Let the Buyer Do Your Dirty Work By Steve Fischer of VR Business Brokers, Wichita KS |
Running your business in a professional manner can yield not only a higher selling price, but can make it easier to sell when the time comes. Leaving the buyer with a bunch of dirty work can result in a lower selling price, make the transition harder and tarnish the legacy you have worked hard to build. How do I define dirty work? Dirty work are those things that a seller should have done, but did not, for whatever reason. Some common things we see include: |
 - Maintaining unneeded or unethical employees because it was easier than firing them.
- Allowing shoddy operating practices.
- Not keeping the books and records up-to-date.
- Not keeping technology current.
- Not keeping software and databases current.
- Changing prices to well below the market rate.
- Not collecting for services or products rendered.
- Not staying current or relevant in your market.
- Operating without a plan.
While many small business owners get started because they have the passion, need or desire to be their own boss, many fail to begin with the end in mind. They are successful in spite of themselves. You should run your business like it is for sale from day-one. A taut ship is easier to maneuver than one that is full of holes.
The person who buys your business wants to be able to hit the ground running. They don't want to have to right the ship and fix things. A buyer only has so much money to spend. The allowances for repairs, upgrades, anticipated lost business, poor pricing and collections practices can all have an effect on amount a buyer will pay. It has always been our contention that a seller should run their business like it is for sale from day-one. This may not be the easiest, most comfortable thing for some but it could pay big dividends.
Not sure where to turn? Ask your accountant, attorney, find a reputable consultant, call us. Get that third party unbiased opinion and listen to it. Be forewarned, it will cost you money. Nothing worth having in life is free. The same applies to the counsel of your advisors.
You do need to be careful where you turn to for advice. Check references, ask questions, do your homework. There are plenty of firms and individuals who may be more than willing to capitalize on your inexperience. You need to be sure to check them out. If nothing else google the name of the company or individual and add the word 'scam' behind it. You may be surprised what you find.
Most people won't buy a car in need of repair. If they do, they surely won't pay a premium. Why is your business any different?
By Steve Fischer, VR Business Brokers of Wichita KS
Blog - http://bizbrokerplains.com Website - http://www.vrbusinessbrokers.com/office/WICHITA-KS.aspx |
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Edgewalkers Stay Ahead of the Game Using Intuition to Move Forward in Business |
The complexities of today's business world are remarkable. You can't predict anything. The rules continue to change at a constant rate. One day, you figure out a competitive advantage; the next, a whole new technology leaves you back at square one. Discovering the right motivation tool one moment can become irrelevant the next if your workforce alters its values. However, some people seem to have an uncanny ability for knowing what's going to happen next before it unfolds. They create a strategy that may seem absurd initially to most people but becomes brilliant when recognized as successful. These are part of an unusual breed of leaders called edgewalkers. STEPS TO WALKING THE EDGE There are five abilities that shape the edgewalker's attributes:  - Visionary consciousness;
- Multicultural responsiveness;
- Intuitive sensitivity;
- Risk-taking confidence;
- Self-awareness.
Visionary Consciousness Edgewalkers begin with this skill. The visionary skills arise out of a strong sense of values and integrity. Often these values are developed through some kind of painful experience or loss, and the edgewalker becomes committed to helping other people who may be going through similar kinds of experiences. Typically, the edgewalkers have gone through a major personal or career change that requires them to develop new skills that were never needed previously. They are the consummate integrators of seemingly unrelated ideas, skills and fields. Multicultural Responsiveness Edgewalkers are bilingual in the sense that they can understand the nuances of different worlds or cultures. They span conventional boundaries and act as translators. They know how to pick up on subtle cues that are different from their own. They pay minute attention to people different from themselves, and have an open and warm curiosity about people from other cultures. They look for commonalities more than differences, and want to know more about other worlds. Intuitive Sensitivity All edgewalkers are natural futurists. They are constantly integrating information from many sources and look for underlying themes and patterns due to being avid readers. Like the shamans of old, they've learned to pay attention to subtle, perhaps invisible signs of potential change. They have an uncanny knack for making the right decisions, often taking action of something that seems counterintuitive to others. However, when asked how they know what to do in a particular situation, they have difficulty explaining it. Intuitive skills are gained through the practice of deep listening. When listening to others, edgewalkers listen as much for the coincidences, patterns or synchronicities that might provide clues to guide them in their decision making. Risk-Taking Confidence There is a strong sense of adventure and experimentation with edgewalkers. They're always attracted to the next new thing. Like entrepreneurs, edgewalkers are easily bored with stability and attracted to what's over the horizon. Because they're able to walk in two worlds (practicality and creativity), the risks they take to jump into the next new thing are based on information and intuition. Having a clear vision guided by strong values helps the edgewalker take risks that might not make sense to others. Self-Awareness This is probably the most important skill that an edgewalker has. They know that each person is a microcosm of the whole. Leaders who are edgewalkers know that if they're experiment with a vision, it's most likely arising in others as well. The challenge for the edgewalker is to find others who have the same passion and to work together to make a difference. AVOIDING POTENTIAL PITFALLS Edgewalkers can often get too far ahead of the pack. If this happens, they lose their credibility and the opportunity to influence others to do creative work. It's nice to have someone say you're ahead of your time, but there are few rewards for being too far out there. The most successful edgewalkers can remain in the real world and can remember established language and values so they can be a bridge to new ideas. |
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Choosing the Right Business for You as a Buyer By Peter King, VR CEO | When you are looking to buy a business, it is important to find the right business first before worrying about the right price. Never base your search simply on finding a good deal because you will find yourself ultimately in a place that you don't want to be. The price must be considered secondary to your personal preferences relating to how you want to spend your time and energy. Remember that you will be spending between 40 and 80 hours a week at the business you choose to buy. Deciding on the Business to Buy  How do you know which is the right business for you to buy? A good place to start is by speaking with a VR business intermediary that will lead you down the right path, based on your interests and needs. Here at VR, we have worked with thousands of people in many diverse situations, where we can match you as the potential owner with a business that's best suited to your lifestyle. Evaluating the Business Intuitively Once you have determined the general type and size of business that you want to buy, you must evaluate specific opportunities with focus and awareness - for example, if you wanted to own a retail computer supply business with $50,000 to $70,000 cash flow. To do this properly, you must combine both the intuitive side with the analytical. On an intuitive level, you should begin to picture yourself running the business on a daily basis, and ask yourself the following questions: - Does it feel right to you?
- Can you see yourself coming to this business every day for the next few years?
At the same time, you should be brainstorming with your VR business intermediary and the seller about possible changes that would increase revenues, reduce expenses or otherwise improve the business. Ask the seller what they would do to improve the business. If your visualizations of coming to work here and implementing changes are favorable, then you have found the right business. Giving an Initial Offer for Buying the Business Your offer is based upon what you believe the business is worth to buy, which includes a down payment and terms of the payment agreement. Remember that as much as you want to a good price for the business, do not lowball the seller. More often than not, the seller will take offense and determine that you're wasting their time by taking their business to another potential buyer. Therefore, make a fair offer. The assessment of the business up to this point is based on the information that has been presented by the seller - asset values, sales revenues, adjusted cash flow and other pertinent information most be assumed to be materially accurate and reliable. |
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Decorative Concrete & Design Company Sold For $220,000 The profitable decorative concrete flooring and polishing business specialized in residential and commercial applications. Since 2002 this company has been the "go to" provider for quality and affordable decorative concrete in the Hilton Head Island and Beaufort County area. It also served the Savannah GA market. VR Business Brokers of Charleston, SC facilitated the transaction, from initial business valuation to marketing the opportunity and providing support through the closing process. Terms of the transaction were not disclosed. |
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VR Continues to Match Qualified Buyers with Businesses for Sale
In today's business climate, our clients demand quality and professionalism. We applaud our VR business intermediaries for a job well done!! Here is a small sample of transactions that have closed across the VR network recently: Music School $210,000.00 Artesia, CA Party Supply Store $244,000.00 Hampstead, NC
Licensed Restaurant $275,000.00 Newport Beach, CA
Bakery & Cafe $225,000.00 Greenville, SC
Lakefront Restaurant $175,000.00 Waukesha, WI
Online Medical Supply Group $300,000.00 Boca Raton, FL Signs & Graphics Co. $258,000 McKinney, TX |
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Automobile Related Turn-key Business for Sale in PEI, Canada - $1,100,000
This is a business that won't be up for sale for very long! Here is a rare opportunity to step into a very profitable, turn-key business. This large automobile-related business earns in excess of $200,000 annually in Discretionary Income, with the potential for an even larger income. The consistently profitable business has been operating for 35 years, has an excellent reputation and is still growing, but the owner wishes to retire and therefore has declined lucrative expansion opportunities. The owner is willing to stay and provide training and guidance to ensure the legacy of the business and success for the new owners. THIS BUSINESS OPPORTUNITY IS PNP (PROVINCIAL NOMINEE PROGRAM) ELIGIBLE!
A house is located next to the business and for sale under a separate agreement.
Business Listing price: $1.1M*
*This price includes all land, buildings, machinery, equipment, inventory and tools (everything needed to run the operation).
Annual Revenue approx. $730,000 - $930,000
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|  Here is just a small sample of the many businesses that VR has for sale. Commercial Retail Building - 100% Occupied $1,100,000.00 Artesia, CA Contracting Services $600,000.00 Artesia, CA Plumbing Business $550,000.00 Coral Springs, FL Commercial Kitchen w/ Real Estate $425,000.00 Waukesha, WI Utility Trailer Manufacturing Opportunity $1,500,000.00 Waukesha, WI Popular Retail Clothing Store $500,000.00 Naples, FL Heavy Duty Vehicle Driveline Remanufacturer $425,000.00 San Antonio, TX Established, Profitable Sweeper Company $129,900.00 Wesley Chapel, FL Award Winning Florist $170,000.00 Fort Lauderdale, FL Cabinet Business $2,900,000.00 Naples, FL Diversified Carpet, Flooring & Tile Co. $150,000.00 Aspen, CO Multiple Locations - Retail Flooring Co. $5,500,000.00 San Francisco, CA Childcare Center $290,000.00 Cincinnati, OH Breakfast/Lunch Restaurant - High Traffic Location $149,500.00 Savannah, GA |
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Join VR Now | The time has never been better to become a part of the VR team. Small businesses make up over 56% of the annual U.S. GDP and every year a large amount of them change hands. VR is the industry leader in facilitating such transactions. 
For more information on how to join VR! |
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