THE SUCCESSFUL CLOSING Now that all of the contingencies have been satisfied and removed from the Contract, it’s time to draft the final closing documents. These documents may be prepared by the Seller’s attorney, Buyer’s attorney or a third party attorney employed by the business broker. The basic documents associated with the transfer of a small business generally […]
Due Diligence is the last phase in the buying process. This is the time when you will have access to all of the company’s books, records and files. You will have a pre-determined period of time to investigate the information that you have been given so far to verify its accuracy. The goal of an […]
When it comes time to sell your business, knowing how to enhance its value and planning ahead are key to doing it on your terms. Selling a business can be complicated and very time consuming. Since the average business sale transaction takes anywhere from four to 12 months business owners need to be in the […]
When buying a business, both emotion and due diligence are elemental and essential. Here are 10 key matters to consider when you find that magical business for which you’ve been searching. It covers important points that are sometimes overlooked when your head is in the clouds during the emotional excitement of a deal. 1) Know that […]
Building a business is like running a marathon, not a 40-yard dash. It requires hard work, a well-conditioned work ethic, a high pain threshold,and taking measured steps one mile at a time. But remember to save some kick for the final stretch to the ultimate goal…….the exit. If you want top dollar for your business, you can’t […]
There are many factors that determine right-timing for selling your small business. The financial condition of the company, valuation, growth cycle, profit history, and the current market. But there is one single thing about timing that comes into play that makes all other factors make little difference….it is the business owner’s emotional readiness to […]
Ayn Rand’s John Galt could not have built a better machine than Houston’s sturdy economic engine of today. In her epic novel, “Atlas Shrugged,” published 50 years ago, manufacturing and transportation were Rand’s focal points in the plot to stop the engine of the world. She understood the importance of business growth, entrepreneurialism, and free […]
Should you be the architect of a new business and start from scratch, buy a new franchise, or buy an established existing business? Every year, thousands of people consider going into business for themselves and these are the three routes to get there. Each course has advantages and disadvantages that one should consider. Starting your […]
Do you buy the stock of the company or the assets? This is a very important decision. If a business is set up as a corporation, the owner may want to sell you the shares of the business. This is called a stock sale. Sellers like this type of deal because their profits get taxed […]
ed to the suburbs, employees then feel comfortable moving another half-hour beyond that into the exurban periphery. As long as employers stay in the core, sprawl has practical limits if employees want to maintain a reasonable commute. The second key factor is maximizing the number of people and jobs inside the opportunity zone. People have […]
Something interesting happened at the bank yesterday. Sadly, it wasn’t that I noticed an extra $100,000 in my account. I was at the teller window and the young guy next to me was probably in his mid twenties, with his little toddler in tow. He was inquiring about the best way to set up regular […]
Watch out, Florida! Texas has emerged as the No. 2 retirement mecca in the country. The Lone Star State has vaulted over Arizona and California and is gaining on the Sunshine State. The North Carolina Center for Creative Retirement, which is nationally known for tracking retirement migration trends, studied 2005 data from the U.S. Census Bureau on […]
Investment groups and baby boomer corporate executives looking to get into action with companies of their own are making small businesses hot prospects these days. Buyers have money to spend and are turning more frequently to the local landscaping company or delivery company as good investments. There’s no question that Houston-area small businesses are becoming more frequent […]
Administaff Announces Results of Business Survey and Compensation Data HOUSTON–(BUSINESS WIRE) Nearly 86% of small business owners say their companies are either growing as predicted or at a faster pace than forecasted, according to a Business Confidence Survey released May 8, 2007 by Administaff, with Headquarters located in Houston and a leading provider of human resources services for […]
The Wall Street Journal had a quite long and comprehensive op-ed a couple of days agao titled “The Realignment of America” on demographic shifts since 2000. While getting the link, I also noted it has been one of the most popular – and the most emailed – stories that day at WSJ. The graphic is […]
We report on economic conditions and other issues that affect the Small Business Community and its future outlook. This survey is important because it is essentially an interview with the generations that hold, in their hands, the future impact of small business on our economy. The outlook is encouraging. Let’s preface the Survey with […]
The U.S. Small Business Administration posted record-breaking loan numbers again in FY 2007, expanding access to capital to thousands of entrepreneurs across America and setting records for both the combined number and dollar volume of loans, according to their News Release today. SBA approved 110,275 loans totaling more than $20.6 billion under its two primary […]
Don’t start it, buy it! Why should you buy a business versus start a new one? Here are ten solid reasons: (1) The success rate for existing businesses purchased is significantly higher than the success rate for a new business startup. Statistics indicate a 90% failure rate for new business ventures within five years, while […]
Since 2005 Houston has been enjoying employment growth at a higher percentage rate than the rest of the U.S. and is anticipated to keep the city’s economic engine running. Houston Ranks Third in Employment Growth in U.S. After peaking late in 2006, the Houston economy has steadily lost momentum over the past six months. Despite […]
It’s all about supply and demand. Potential buyers and sources of capital for the acquisition of profitable privately-held companies is plentiful while the supply of businesses on the market is not. This makes a profitable, established business a hot commodity and in demand. Inc. Magazine spells it out in this month’s issue, “The Most Valuable […]
Back in March 2007 I wrote an article touting Houston’s booming economy. In revisiting that article, while there is certainly economic turmoil on today’s national scene, Houston is still hot! The reason for this blog post is to share some of our current hands-on observations and experiences that keep us aware of the climate in Houston. […]
Last Friday afternoon I was a guest on KSEV Radio AM 700 with host Aubrey Thoede and had the opportunity to discuss a subject that many call-in listeners wanted to learn more about….starting their own franchise. But buying a new franchise is not the best way to go about achieving the “American Dream.” Everyone reads […]
If you are looking to buy or sell a business in Houston, 2008 will see a wave of activity and be a year of great opportunities. We have already kicked off the New Year with a bang, closing four businesses between New Year’s Eve and the day after the Holiday. And, we currently have a […]
Get Reviewed and Prequalified For Financing So You Can Leverage Your Business Purchase. Getting prequalified for financing by lenders is very important for two specific reasons. 1) 90% of all small businesses sold have some form of financing involved. 2) One of the biggest reasons that deals falls through is because the buyer could not […]
If you want to be successful in making a business acquisition, you want to work with a brokerage firm with a large inventory of businesses for sale and an experienced staff of professionals who are focused ONLY on selling businesses and have the training and experience to successfully close the deal. While most first-time buyers may initially […]
Houston’s economy will continue to flourish for the forseeable future, despite the nation’s credit crisis (Houston Business Journal 11/19/07). The TrendLines report, researched by Transwestern affiliate Delta Associates, projects an average of 60,000 new jobs in the Houston area each year through 2009. Job growth will cause office vacancy to decline and office rental rates to […]
Leadership November 26, 2007, 11:35AM EST text size: TT Are You the Best Boss for Your Business? Bakery Barn saw explosive growth in five short years, becoming a $6 million company. Now the founder thinks it’s time for a new leader by Kerry Miller The way Sean Perich tells it, the history of his […]
Can You Sell Your Home-Based Business? The value of a business depends mainly on the earnings it produces, with the expectation that those earnings will continue into the future should a new owner take the helm. It also depends on having something valuable to sell that allows those earnings to be produced. So, if you […]
When you are selling your business you should be prepared for the different types of deal structures that may be proposed from various buyers. A business sale often consists of multiple elements like cash at close, seller notes, non-competes, books and records adequate enough for business financing by lending institutions, allocation of assets, capital gains, […]
We often spend the least attention on the decisions that affect us most. Entrepreneurs pour heart and soul into building a business, often with the unexamined belief that the right exit will be bestowed on us as a reward for our hard work. On the other hand, seasoned successful CEO’s will tell you that planning […]
What are the odds of your business actually selling once you have made the decision to sell? Well, national statistics indicate that the odds of your business selling are only 25 to 30 percent. What does this mean? To put it bluntly: if you are thinking of selling your business, you have, on an average, […]
When preparing for any invasive procedure, you would want to first address the issues that are the most crucial when deciding if further exploratory examination is warranted. Therefore, every person looking for a business to buy should ask key questions that will cut right to the chase in order to decide if a particular business […]
Buying a business takes time and planning. Just as it would be sensible to pre-map a road trip through unfamiliar territory, it would be practical for a first-time buyer to develop a plan to navigate the path to business ownership. Charting the route is key to buying a business and becoming your own boss. If […]
The Indo-American Chamber of Commerce of Greater Houston (IACCGH), as part of their Small Business Success Series, will be hosting a moderated dinner event at Bombay Brasserie Restaurant in Houston, Texas, on June 24, 2008. Tara Energy, headquartered in Houston and one of the largest independent retail electricity providers in Texas, is sponsoring the event. […]
Buying a business in today’s economic climate requires that buyers be on the ball. The current economic climate, as far as business acquisitions are concerned, is a sellers market. With corporate downsizing, economic downturn and other factors, there are a lot of very knowledgeable buyers out there looking for one of the very few good […]