New In Selling A Business

Maven Tips 
  
Be Wary Of Negotiating With One Buyer
Whether you seek-out one buyer when it is time to sell your business or receive an unsolicited buyout offer, you may later regret your decision to not reach-out to other potential buyers. This especially may be the case if you need to sell your company within some specific timeframe.  Potential pitfalls of dealing with only one buyer:

• You will not have a back-up buyer readily available should the current buyer back-out.
• You will never know if you received a fair market valuation for your company (could you have left significant money on the table?)
• You will have less negotiating leverage (because the buyer will likely sense there is no competing buyer).

Numbers Don't Sell A Business
The value of your business lies in what the buyer believes its future will be. Present a compelling, defensible story to the buyer.

Have Compelling Reasons For Selling
A seller who can’t convincingly articulate reasons for selling or their plans for retirement may not convince the buyer that he/she is a serious seller.  This may cause some qualified buyers to walk away.
 

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Maven's Selling A Business Articles


Selling Your Business: Advice From Private Equity Firms
When it comes to selling a business with revenues of $10 to $250 million, where would some of these middle-market business owners be if it weren’t for the rise of Private Equity firms as buyers? The reality is... read more


Interesting Perspectives From A Business Seller
Bill Quish interviews former client Dave Otfinoski, founder and CEO of MedKnowledge.  Dave shares his unique perspective about the process of selling his company.  Click here to read.


Getting Deals Done In A Challenging Mergers And Acquisitions Market
Most business owners we speak with have the impression that fewer sales of businesses are getting done these days because valuation multiples are low and financing is difficult to arrange. Based on our current experience, this is not always the case. What we are seeing is that transaction valuation multiples have approached historical norms for companies that are performing above their peers or are being consummated for strategic reasons. While third-party financing is clearly harder to obtain, it is often available at lower leverage multiples but with more restrictive covenants.

This article provides pragmatic suggestions to bridge gaps in valuation expectations between the buyer and seller, and financing a business sale transaction...

   

 
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