|
|
|
|
|
|
|
|
| |
What About That Big Customer?
|
|
|
Many companies have a single customer or a few large customers that dominate their overall sales. After all, nobody wants to turn down business!
But when it comes time to sell the company, this becomes a huge problem. Most buyers won’t look at a business whose revenues could drop dramatically after closing from the possible loss of those customers.
Some how, some way, business owners have to find a way to diversify their customer base before they ever decide to sell their business.
© 2009. Richmark Associates, Inc.
|
|
|
|
|
|
| |
Financial Statements Others Can Understand! |
|
|
In too many cases, business financials are so confusing that no one can understand them or analyze them.
And it’s not uncommon that the tax returns don’t match up with the Profit and Loss Statements. These can become major problems when the business owner tries to obtain financing or sell his or her company.
It is absolutely critical that a business has a set of financial statements and annual tax returns that are easy to understand and make sense to anyone who has to review them.
© 2009. Richmark Associates, Inc.
|
|
|
|
|
|
| |
Don’t Let Your Customers Forget You Are Out There!
|
|
|
When sales are slow, business owners have a tendency to cut back on all marketing expenses.
Today, there are various ways of cost effective advertising to keep in contact with customers and prospects that might be considered. Talking to marketing consultants, reading books or searching on the internet are ways to find out what is working for others. There are direct mail campaigns such as postcards or coupon books.
Internet advertising or email campaigns can hit directly at the target audience. Not communicating with customers and prospects will only hasten the sales slide and reduce the value of the business.
© 2009. Richmark Associates, Inc.
|
|
|
|
|
|
| |
Will the business numbers look good to anyone else?
|
|
|
Business owners can operate their company as they wish, but when they are ready to sell, will it appeal to buyers?
If the numbers don't make sense or show profits, who would want to buy it?
Business owners who want top dollar for their company must be able to reveal all elements of owner cash flow that buyers and lenders will accept. Otherwise, there will be only disappointing offers or no offers at all!
© 2009. Richmark Associates, Inc.
|
|
|
|
|
|
| |
Business owners may have to finance the sale of their business.
|
|
|
In today's tough economy, obtaining financing for the sale of a business can be challenging.
Banks might not like the financials or might not be able to supply the funds even if they approved of the deal. If a good qualified buyer doesn't have all cash, business owners may have to consider providing some, if not all, of the financing for the sale of their company.
Of course there can be risks to seller financing, but there are also potential advantages such as higher sale price, a greater pool of buyers and an easier closing process.
© 2009. Richmark Associates, Inc.
|
|
|
|
|
|
