Have you ever wondered if you could as is? You may think you have an attractive and valuable company but, would a potential purchaser agree? Are you ascribing value to sweat equity that a potential purchaser may not attribute value to? Are you even aware of what a potential purchaser would be willing to pay for your business today? To answer these questions, you must start thinking like a potential purchaser.
"The cannot be underestimated given that about one trillion dollars of business assets could be transferred to the next generation in the next decade." [1]
In November 2012, the CFIB released the results of a study on business succession planning that was conducted over the period from March 9 to May 4, 2011. Over 8,300 Canadian business owners responded to the stu...
You have nearly completed your by conducting the following steps:
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Review author’s credentials and qualifications;
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Identify scope limitations;
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Assess underlying assumptions;
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Consider conclusion as opinion versus calculation;
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The Sellability Score is an extremely valuable pre-sale to help assess the current "sellability" of their business.
In the fall of 2012, the Sellability Score researchers analyzed data from users over the past 12 months. The research team compared the data provided...
When where the damages period extends beyond the anticipated trial date, there are issues to address with respect to discounting the future damages. An earlier post addressed the issue of applying an appropriate discount rate to present value future damages. [1] The issue of which date the damages should be present valued to, however, was not discussed. The Ex-Ante and Ex-Post approaches address this issue.
You may be eager to , but are you prepared for the numerous questions a potential purchaser will have before they start looking inside every corner of the business?
Many of these questions will be objective in nature, such as:
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When do...
"The key to a successful defense is often proof that the plaintiff failed to mitigate damages. The plaintiff is required to act reasonably to mitigate damages, but its failure to do so must be proved by the defendant." [1]
You have now completed the following steps in your review of an :
You have now completed your review of the on damages by considering:
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The author’s credentials and qualifications;
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Any scope limitations in the report;
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The underlying assumptions;
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The natu...
This past week I presented to a group of business owners on the importance of having a professional business valuation. In addition to many situations where an is required (e.g. estate freeze, shareholder or matrimonial dispute litigation, purchase or sale of business, etc.), a business valuation can also be a very powerful planning tool.
Speaking as a professional b...
Implementing an effective will increase the attractiveness of your business to a potential purchaser and provide a significant return on your investment. Implementation, however, is the key. Many business owners appreciate the importance of a good action plan, but successful business owners excel at implementing the action plan.
"According to CIBC, an es...