Covering all things small-business
This post explains the role and importance of buy-side advisors for any entrepreneur considering a business acquisition.
Aug 23, 2023
Small Business Loans for Women
Women are far less likely to benefit from the benefits of small business ownership than their male counterparts. Luckily, there are some resources available to help even the playing field and make small business ownership a reality for all entrepreneurs.
What is a Confidential Information Memorandum (CIM)?
A CIM is a comprehensive document that provides potential buyers with detailed information about the business being sold. In this blog post, we'll explore what a CIM is, why it is important, and what it typically includes.
What is a Quality of Earnings Report (QOE)?
A Quality of Earnings (QoE) report is used in due diligence to evaluate the quality of a company's earnings based on Generally Accepted Accounting Principles (GAAP). A QoE report can provide a more accurate picture of a company's financial health.
Definition of Cost of Goods Sold (COGS)
Cost of Goods Sold (COGS) is a critical metric that every business owner needs to understand. In this blog post, we explore the definition of COGS, why it matters, how to calculate it, and its impact on the financial health and sale of a small business.
How to Choose a Business Broker
Business brokers play a crucial role in helping business owners sell or acquire businesses. However, not all business brokers are created equal, and choosing the right one can make or break the success of your business sale or acquisition.
Defining & Explaining Sellers Discretionary Earnings (SDE)
If you're a small business owner, understanding your company's financial performance is essential. However, assessing your business's value is not as simple as looking at revenue or net income—that's where Seller's Discretionary Earnings (SDE) comes in.
What is the definition of EBITDA?
Understanding EBITDA is crucial for small business owners and entrepreneurs when it comes to evaluating the financial health of a business. This blog post breaks down what EBITDA is, how it's calculated, and why it's such an important business metric.
Alternatives to BizBuySell
BizBuySell is the most well-known site for sourcing small business deals, but it isn't the only option out there. We'll go through alternatives to "BBS" and where they site in the landscape of small business brokerages and listing sites.
Business Brokers in Austin, Texas: Pick the Best Austin Business Broker for Your Business
With an influx of younger entrepreneurs to Austin, many owners are looking for the best business broker to represent them in a sale. This post outlines business brokers in Austin and includes advice in choosing the best one for you.
How to Value a Property Management Company: A Quick Guide to Valuing Property Management Companies
Property management companies come in all types and sizes. This post lays out the best practices for valuing a property management company as well as the common questions asked.
Retirement Plans for Small Businesses: SEP vs. SIMPLE
Small business owners often face a variety of challenges when it comes to offering retirement benefits to their employees and planning for their own retirement. This post outlines the two most common retirement plans we see.
Business Brokers in Houston, Texas: Who They Are, What They Do, and Where to Find Them
Houston is the economic powerhouse of Texas, boasting over 600,000 small businesses. This post outlines the role of business brokers and lists the top business brokers in the Houston market.
When should I start exit planning for my business?
It's never too early to start thinking about exit planning, even if you're just starting out in your business. In this article, we dive into what an exit plan is, when you should start planning and why it's important.
Securing a Seller Note in a Small Business Sale
Seller financing is used in a majority of small business acquisitions. However, business owners are often concerned about their recourse if the transition falls. Read on to learn how seller financing is secured in a business sale.
Working Capital in a Small Business Acquisition
Working capital allows operations to run smoothly even when there's cash coming in and out the door on different timelines. We'll help you understand all things working capital as it relates to small business acquisitions.
Why You Should Keep Your Business Sale Confidential
When going through the process of selling a small business, most business owners keep the business sale confidential. We'll go through examples of why confidentiality matters and share strategies to ensure your deal is announced at the right time.
How to measure returns on a small business acquisition with MOIC
Multiple of invested capital (or MOIC) is a useful metric when considering the purchase of a small business. We'll go through what it is, how to calculate it, and how to use MOIC when conducting due diligence.
Why Employee Tenure Matters
Employee tenure is a metric that speaks to the institutional knowledge within an organization as well as the likelihood to retain that knowledge in the advent of a sale. We'll run through what buyers want to see when it comes to talent.
Why do Business Owners Use a Business Broker to Sell to an Employee?
We’ve spoken with a number of owners who consider an employee transfer and decide to do a competitive sale process instead. This begs the question, why work with a broker if you’re considering selling to an employee?
Installment Sale vs. Seller Financing In A Business Sale
Installment sale vs seller financing compared, the similarities and differences between seller financing and an installment sell, the benefits of an installment sale and seller financing to business sellers.
Considerations When Selling a Business as a Going Concern
There are specific accounting rules that govern the definition of a business as a "going concern." Understanding the implications of a business sale as a going concern can keep you and your potential buyers on the same page.
5 Types of Business Buyers Who Might Buy A Business
Who are business buyers? Understanding the different types of business buyers you might encounter as you try to sell your small business or franchise can help you find a buyer quickly for as high of a price as possible.
An Interview with TJ Brogan, Owner of Washaroo Hand Car Wash
We sat down with TJ Brogan to discuss the process of buying and running car washes in Austin, Texas. TJ shared the origin story of Washaroo, some key learnings from his first months on the job, and advice he’d give to other young entrepreneurs.
An Interview with Chris Truglio, Co-Founder and COO at Stress-Free Auto Care
We sat down with Chris Truglio to learn more about the process of buying, owning, and operating auto repair shops. We discussed everything from how to perform effective due diligence to the intangible indicators of successful shops.
A Seller’s Guide to Small Business Valuation
Conducting a business valuation is a valuable exercise at any stage in the small business lifecycle. If you are thinking of selling your business, conducting a fair market valuation can help you understand what a buyer is likely willing to pay.
Business Broker Fees: How Much Are They, And Who Pays?
When you want to sell or buy your business, you want the best value possible. As a seller, you want the highest selling price, and as a buyer, you look for the lowest price. Business brokers help you achieve the best value possible.
An Interview with Jake Parsley, Attorney at Parsley Law
We sat down with Jake Parsley to hear about business transactions from a legal perspective. We discussed the role of attorneys, the key legal documents owners should have, and the differences between asset sales and stock sales.
An Interview with Sal Acosta, Managing Partner of Landon and Acosta
We sat down with Sal Acosta to hear about his process for qualifying buyers and sellers, where he thinks the brokerage industry is going, and some common misconceptions about selling a small business.
An Interview with Morgan Tate, Co-Founder of Paratus and Advisor at Chinook M&A
We sat down with Morgan Tate to hear about his journey into business brokering, his thoughts on seller education, and how COVID has affected the market for sellers and buyers of small businesses.
The Role of Community Development Financial Institutions
When looking for small business loans, owners may come across Community Development Financial Institutions (CDFIs). These institutions are dedicated to helping increase access to financing in underserved communities.