Fictional owner, Peter Miller, had called his accountant to ask her to help him value his business with the idea of retiring in a few years. No stranger to Exit Planning, his accountant assembled all of Peter’s advisors and launched a complete Exit Planning process. She began, not with an examination of how a transfer [...]
Posts Tagged ‘retirement’
How Much Is All This Exit Planning Going To Cost?
Posted on November 2nd, 2009 by Bay Area Business Sales
Filed under: Business Owner Objectives, Exit Strategy, Increasing & Preserving Business Value, Transferring Business Ownership
Manage Short-Term with Endgame in Mind
Posted on May 27th, 2009 by Bay Area Business Sales
Filed under: Business Owner Objectives, Exit Strategy
Let’s review the four areas where business owners who want to both survive in today’s economic climate and emerge from it poised for growth (or sale) can focus their energies. As you may recall, those areas are:
Preserving and Protecting Value
Identifying Value and Cash Flow
Creating Revenue
Creating Value
Most owners are currently waist-deep in the first area: cutting [...]
Time to Figure Out What You Need
Posted on March 18th, 2009 by Bay Area Business Sales
Filed under: Business Owner Objectives, Exit Strategy, Uncategorized
The recession has brought a lot of challenges, but it has also brought the luxury of time: time to figure out exactly what you need from the sale or transfer of your company to support a comfortable post-sale lifetime and time to create enough value in your company to achieve your desired sale price.
Most owners [...]
In Tough Times, What Are Your Options?
Posted on January 29th, 2009 by Bay Area Business Sales
Filed under: Exit Strategy
As exit planners, we consistently urge business owners to take the initiative when planning their exits. Today, we apply that perspective to encourage them to go beyond panicked headlines and take a clear-eyed look at options in light of their: (1) exit objectives, (2) companies and (3) current M&A conditions in their marketplaces before they [...]
Setting Business Exit Objectives
Posted on January 7th, 2009 by Bay Area Business Sales
Filed under: Exit Strategy, Transferring Business Ownership
“When a man does not know which harbor he is heading for, no wind is the right wind.” So said Seneca almost 2,000 years ago. Today, speaking to business owners he might likely say, “Exit Planning for business owners must start with knowing your exit goals and objectives; otherwise, failure may be inevitable.”
Why is Seneca’s [...]
Liquidation: Shutting Down Your Business
Posted on July 25th, 2008 by Bay Area Business Sales
Filed under: Exit Strategy, Transferring Business Ownership
If there is no one to buy your business, you shut it down. In a liquidation you sell off your assets, collect your accounts receivables, pay of outstanding debt, and keep what’s left, if anything for yourself.
The primary reason to consider liquidation is that a business lacks sufficient income producing capacity apart from the direct [...]
Blood From a Turnip: Selling Your Business to Co-owners or Employees
Posted on July 24th, 2008 by Bay Area Business Sales
Filed under: Exit Strategy, Transferring Business Ownership
One of the advantages of having other owners in your business is that they can be your means to retirement. Â A common retirement planning technique is to take on a younger minority partner while you are still active. Upon your retirement, the younger owner will purchase your remaining stock.
This can be advantageous because the younger [...]
Leaving Your Business: Who Will Take The Reins When Your Gone
Posted on July 22nd, 2008 by Bay Area Business Sales
Filed under: Exit Strategy, Transferring Business Ownership
Just last week I met with the owners of a manufacturing company in San Jose, California. Husband and wife had started the business 30 years ago and over the years had brought in their son and brother in law to work in the business. Now well into their 60s, the owners want to retire while [...]