While we hear about the occasional success story, the fact is roughly 90% of small companies that go on the market are never sold, sadly forcing the vast majority of owners to close down and liquidate what is often their life’s work.
Most owners make the mistake of thinking that selling their business is like selling a house, only to find that selling their business is significantly more complex and difficult. First, a business is valued by a myriad of internal and external factors that affect its ability to generate cash – and those factors often change with a change of ownership. Second, the pool of available buyers is a significantly smaller than the pool of companies on the market. Third, borrowing commercial money is more difficult because lending approval is based on the dynamic of present and future cash flows. Another point to remember is the fact that the number of baby-boomer owned businesses going on the market is increasing relative to the number of available buyers, making it critical for owners sellers to stand out in the crowd.
Using hands-on experience and practical insight, Balistreri & Associates takes a deep dive into the process of making your business an attractive acquisition candidate. We look at the past and present in order to trend where your business has been and where it is heading. Then we look at every aspect of the business to identify and prioritize the improvements required to increase both street appeal and enterprise value. After the prioritized improvements are agreed to, we roll up our sleeves and work with you to implement each one. The process is done in a way that won’t keep you from your day-to-day responsibilities and it won’t consume a disproportionate amount of your resources. It also won’t cost you an arm and a leg.
If needed, Balistreri & Associates works with a network of knowledgeable and trustworthy professional resources that can provide services beyond our scope. These include:
> Certified asset appraisals and business valuations
> Legal matters, documents and transaction execution
> Business brokerage
Whether we work with the professionals you already use or you use professionals from our network, we’ll orchestrate the process to make sure every step is properly sequenced and completed on time. This is especially important to owners who aren’t familiar with the selling process or they just don’t have the time to deal with the process details.