Check Out Questions Business Owners Ask Me and the Answers I Give Them

Great article by Loren Marx Schmerler put out by the Business Brokerage Press...

Posted @ 6/28/2012 9:13 am

Throughout my years of successfully assisting business owners in selling their companies, I've been asked the same questions by many potential sellers. In this article I have compiled a list of common question about selling a business along with my answers that you may find helpful.

1. How much is my business worth?
2. How long will it take to sell my business?
3. Is there anything I can do to make my business more desirable?
4. Is there anything I should not do during the listing period?
5. What is due diligence?
6. What else do you suggest I do to impress a Buyer?
7. What happens if I agree to do some owner financing and the Buyer misses a payment?

To read the answers Mr. Schmerler gives to the above excellent questions... click here.

Check out "Five Ways to Go From Owner to Employee"

This blog article by Sarah Needleman at The Wall Street Journal (WSJ.com) is a must read if you are planning to sell your business at any point in the future.
Five Ways to Go From Owner to Employee

If you're planning to sell your business, you may need - or even want - to stay with the company for a while afterward as an employee. But without careful planning, transition can fall flat.

In one extreme example, Michael Arrington announced on Monday he was leaving the technology blog he founded in 2005, TechCrunch, a year after its sale to AOL for $30 million. He initially remained with the publication as its editor but in recent weeks tension mounted between Mr. Arrington and AOL, resulting in his departure. (For more, please read Founder Departs TechCrunch Blog Over Spat with AOL."

Here are five ways to ensure a smooth transition from business owner to employee, according to Needleman's blog...

- Address conflicts of interest
- Put your ego in check
- Anticipate big changes
- Set a termination clause
- Request a board position and equity

To read the full article and more detail on each way to smooth transtion, click here.

Do You Have a Plan?

While it may not be visible itself, a positive plan for the futre of the business is key to actually moving toward a positive future. Business owners should be prepared to spend what it takes to generate new business, and they should take time to explore new possibilities for long-range success.

If the company currently has no mission statement, creating one will be evidence of he owner's enthusiasm for the future and for the ongoing success of the operation. If the company has a mission statement that no longer fits current conditions and needs, it may be time to revisit and revise the statement.

To write/rewrite your mission statement, here is a great article from Entrepreneur.com... "How to write your mission statement."

Now, prospective business sellers, be sure to watch my blog on Mondays and Fridays for the next several weeks, as I will be covering several issues to consider in the everyday running of your business. Issues that will help you prepare for an eventual sale, or at the least help you have a more profitable, well organized and forward thinking business.