JoAnn Lombardi | Being Aware of Deal Breakers in a Business Sale

Being Aware of Deal Breakers in a Business Sale

Article By JoAnn Lombardi, President VR Business Sales
When the time is approaching when the business sale is near, both buyers and sellers can jump the gun, resulting in complications.

At VR, we advise you on paying attention to every step of the process.

There are a few factors that can cause a deal to collapse, which you should know:

Undisclosed Information Surfaces

Asking for Additional/No Collateral

Lack of Buyer and Seller Rapport

Inability by Buyer to Raise Necessary Capital

The Seller Backs Out

For more details read full article here  Being Aware of Deal Breakers in a Business Sale

 

To learn more about avoiding these and other types of deal breakers, contact your local VR business intermediary today.

 

 

 

Peter King | Determining Risk when Buying a Business

Determining Risk when Buying a Business

Article by Peter King, CEO of VR Business Brokers

 

Risk can be influenced by the stage of the venture, the competitive advantage, proprietary technology, the expertise and experience of management and many other factors that can determine whether a venture succeeds or fails.

Below is a list of some financial instruments that are sorted by ascending order of risk:

Senior Loans Across All Assets

Senior Loans with Specifically-Named Assets

Subordinated Loans across All Assets

Unsecured Loans

Preferred Stock

Common Stock

To read full article click here Determining Risk when Buying a Business

 

JoAnn Lombardi – The Right Strategy for the Business You Buy

Determining the Right Strategy for Your Business that You Buy

By JoAnn Lombardi, President VR Business Brokers

In order to determine the strategy that will work effectively after buying your business, there are five essential questions that will help you determine if you will able to implement and push you to prosperity and solidify customer loyalty.

What Type of Business Do You Run?

What Other Businesses Do You Have?

What Are Your Core Competencies?

What Are Your Core Values?

Are Your Short-Term Goals and Long-Term Strategies Aligned?

Read the full article at Determining the Right Strategy for Your Business that You Buy

 

One of our business experts can also help you with all aspects of Buying a Business.
Contact VR at 1.800.377.8722 for more information.

 

JoAnn Lombardi – Evaluating the Buyer for Your Business

Seller Beware – Due Diligence Critical When Evaluating the Buyer for Your Business

By JoAnn Lombardi, Pres. VR Business Brokers

 

Normally when the buying or selling of a business takes place, the buyer only performs due diligence. However, smart sellers know that it’s a two-way street.

KNOWING THE RISKS  

The seller has a lot to risk. Of course, if you sell your business for 100% cash, you risk very little. However, this is a rare scenario.

In performing due diligence, the seller should employ the same checklists as the buyer and ask equivalent questions, including areas of:

Finances

Strategy

Products/Services

Management

You want to make sure that your business is in capable hands. You want a buyer that will help grow your business.

Read full article here  Seller Beware – Due Diligence Critical When Evaluating the Buyer for Your Business

 

JoAnn Lombardi – Preparing an Offer For Buying A Business

Preparing an Offer as a Business Buyer

By JoAnn Lombardi, President VR Business Brokers

Attention to detail is important with every aspect of the business that is for sale.

As a buyer, you will have to perform your due diligence before an agreement is drafted and signed by you and the seller.

Some of the key aspects to consider are:

  • Outlining all the positives and negatives to the deal;
  • Resolving the challenges that are preventing negotiations from moving forward;
  • Find the middle ground where both you and the seller can come to terms;
  • Present and have signed the purchase agreement.

Read full article here Preparing an Offer as a Business Buyer

 

In buying a business, our skilled VR Business Intermediaries can help toward finding a business that matches your qualifications and interests, as well as informing you on what the Seller expects from you as a Buyer.

You can contact our VR Headquarters at 1.800.377.8722

For information about owning a VR Franchise you can view VR Franchise Presentation Videos & PDF.

 

JoAnn Lombardi – What Not To Do When Buying A Business

What Not to Do if You Become a Small-Business Owner

By JoAnn Lombardi, President VR Business Brokers

Here are a few things that you should NOT do when you’re going to be buying a business:

Set Up an Equal Partnership

Having Inadequate People and Planning

Relying Too Heavily on Fewer Customers

Insufficient Financing Can Cause Cash Flow Troubles

Failing to Admit Mistakes

Underestimating the Competition

Read full article here  What Not to Do if You Become a Small-Business Owner

 

You can contact VR for assistance when buying a business at 1.800.377.8722

 

JoAnn Lombardi – Planning when Buying a Business

Importance of Planning when Buying a Business

By JoAnn Lombardi

VR advises to develop a business plan that can help ensure that you know what your goals are and how to achieve them. In essence, a business plan is a road map that helps you focus on the most important points.

Here are some points to consider:

Examining Your Objectives …

Evaluating Strengths and Weaknesses

  1. Marketing and Sales – Research distribution channels and pricing strategies;
  2. Manufacturing – Analyze product costs such as raw materials, labor and overhead, availability of materials, operational forecasts and condition and capacity of manufacturing facilities;
  3. Business’ Financial Position – Estimate the company’s future working capital and capital investment requirements, current talent and expertise and transferability of skills.

Neglecting the Business Plan can Result in Failure …

Read the full article at  The Importance of Planning when Buying a Business

 

Information on Owning a VR Business Sales Franchise – Videos & PDF Presentation