Don't Overlook a Reputation Management Investigation When Purchasing a Business By: Peter C. King, VR CEO |  You've checked the business location, the financials, and done all of your due diligence-or, have you? Leaving out a comprehensive reputation management investigation in your purchase discovery process can be a costly omission.
Financials may indicated the revenue was being maintained, however disclosure information may not show the real life ratio of incoming "new" clients vs. the "repeat" loyal clientele as well as the "talk on the street" about the business. Ask Questions No business is going to voluntarily tell you that they have disgruntled customers. So, when investigating a new business you need to do a bit of detective work.
Send in "A Customer" Depending on how/where the company does business either send in a "spy" to the bricks and mortar location to look at the clientele, go through an inquiry to determine customer service, and get a perception of the customer experience. |
5 Tips for Selling Your Business By: JoAnn Lombardi, VR President |  Business owners own life-long dreams, not businesses. When the time comes to pass on that dream, care should be taken to get the best price. The following tips can help business owners successfully sell their businesses:
1. Position your business for sale This process should begin the day you purchase or start the business. To build long-term value, develop and maintain a tracking system of customer transactions, financial records, licenses, equipment, and inventory. 2. Determine the fair market value of your business Because the market determines value, business intermediaries are the most qualified professionals to value your business. They have the most complete and current information on actual business sales and pricing formulas, and can therefore provide businesses with accurate market values.
|
Pricing a Business for Sale |  By Blake Murdoch, VR Intermediary in Edmonton, Canada
Valuations of small to medium sized businesses can be complex. When we provide a valuation report to a vendor client, we consider multiple complex valuation methods and use a weighted average to come to an estimated value for the business. However, one method that is always used, and which usually composes the largest weight of any method used in the valuation, is the SDE market comparison method.
SDE stands for Seller's Discretionary Earnings. This is a measure of profits that excludes certain debt expenses, as well as expenses that, well, are considered discretionary and not crucial to the functioning of the business. SDE is an alternative to Earnings Before Interest, Taxes, Debt and Amortization (EBITDA). That is because, in the realm of small and medium sized businesses, expenses relating to personal or non-business use are more common, but these items should not detract from real profits for the purpose of valuation. So, what does SDE consist of? Here's how it is calculated:
|
 |
Liquor Store Sold For $1,100,000 This 54 year old profitable business in Wisconsin has a large loyal customer base, a very high traffic location, and limited competition from other liquor stores makes this an excellent, low risk acquisition. Real estate was included in the sale and recurring revenue from commercial rental tenants added more profit to the bottom line. Liquor stores are recession-proof businesses and those with real estate too are in high demand. All the key elements for a successful liquor store business were included in this opportunity, as attested to its longevity and success. For more information, visit www.vrbizlakes.com or call them at 262-347-2083. |
|
 |
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: Specialty Salon | $1,120,000 | Waukesha, WI Pizza Restaurant | $240,000 | Artesia, CA
Plastics Manufacturer | $515,000 | Greenville, SC Pub | $300,000 | Greensboro, NC Graphic Embroidery & Sign Business | $999,000 | Edmonton, Canada Sheet Music Store | $208,000 | New Haven, CT Franchised Specialty Service Business | $374,900 | Ozark, MO Thinking of selling your business, or looking for an already running business purchase? |
|
 |
Tropical Beach Front Resort for Sale Valued at $9,300,000 VR Business Brokers in Naples, Florida, has listed an opportunity of a lifetime ! Create a tropical paradise, where you can live, love and prosper, in a peaceful and stable democracy. Five acre beachfront piece of paradise in the Bahamas is a destination resort that is currently operating as a resort rental company while under construction with approvals granted for up to 80 upscale units. Infrastructure is in place as are government approvals. The government is welcoming this development as their economy is tourist-based. Located a short ride from Freeport International Airport, this island, Grand Bahama, is 110 miles long by 18 miles wide at its widest with only 50,000 people! Fifty miles from Florida. Included in the package is the current owner's personal residence that we call "The Retreat". A furnished 3360 sq ft waterfront custom home in the upscale community of Fortune Bay/Taino Beach, which is 10 minutes from the Freeport International Airport and Port Lucaya. The adjacent waterfront building lot is also included. They will explain the financial advantages of investing in the Bahamas. For more information, contact Joel Soorenko at jsoorenko@vrnaples.com or call 239-596-8200. |
|
|
| |
| Businesses For Sale | Your dream business awaits you...take advantage of these featured opportunities VR has for sale now!
|
Screen Printing & Embroidery $399,000 Artesia, CA Popular Brunch & Lunch Cafe $149,000 Wilmington, NC Scooter Sales & Service $189,000 Milford, CT Established Auto Repair Shop $99,999 San Diego, CA Trucking Company $1,099,000 Oak Brook, IL Dry Cleaning Specialty Co. $490,000 Cincinnati, OH KiteSurf Brand for Sale $615,000 Coral Gables, FL Leading Online Provider of Construction Accessories $4,500,000 Waukesha, WI Amusement & Recreation Business for Adults & Children $300,000 Fort Lauderdale, FL Medical Products Manufacturing $1,795,000 Indianapolis, IN Franchise Shipping & Printing Center $220,000 McKinney, TX Database Firm $700,000 New Haven, CT Reputable Heating & A/C Co. $410,000 Wichita, KS Traditional Country Home Cooking Restaurant $260,000 San Antonio, TX Group of Oil Drilling Companies $9,390,000 Truck & Car Wash Business $3,250,000 |
|
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! Click Here |
|
|