How Goodwill Impacts a Business Sale
Buying or selling a business? Then you’ve come across the term ‘goodwill’ before. Goodwill can affect the price of a business.But the big question here, is why?
Selling a business
Looking at selling a business? Core Business Brokers are here to help guide you through your exit. We’ve had the experience of selling hundreds of businesses – but we are able to treat you and your business as the individual sale it is.
Top 3 mistakes made in business sales
Here at Core Business Brokers, we’ve identified the top 3 mistakes made in business sales, and why they should be considered before the sale process begins.
How Cash Flow Affects a Business Sale
Many factors affect the sale of a business; environment and market conditions, competition, profit and loss… the list is long and variable. But one of those variables worth mentioning today is cash flow. Cash flow can positively and negatively affect a business sale. Why? Let’s first explain what cash flow is…
The Business Sale Process Explained
nvolved each step of the way. Enter Core Business Brokers. With over 85 years of collective experience in business broking in Sydney, let us guide you on your business sale (or business purchase) journey!
Stock sale VS. Asset Sale: What’s the difference?
In the world of business sales, there are many options when it comes to buying and selling. Two of these options are stock (also known as shares) sales and asset sales. These two types of business sales are commonly experienced by businesses acquiring other businesses (or part of them), mergers and more. But when it comes to stock sale VS. asset sale, which type suits your goal? Let’s find out!
Should you sell your business after its most profitable year?
A question we hear frequently here at Core Business Brokers, is “When is the best time to sell my business?” Now, there is no black and white answer to this question. However, the best time to sell your business, is when your business looks the most attractive to potential buyers. Does that mean you should sell your business after its most profitable year? The short answer is “yes”. Let us explain
Case Study: Garden Hardware Business
With over 35 enquiries in the first 60 days of listing, a suitable buyer was found… then Sydney went into strict lockdown and the arrangement became impossible.
See how we found a way to overcome this impediment with determination and out-of-the-box thinking. Plus read what the Vendor and Buyer had to say.
Business Sale Success During Covid-19
Many business owners are cautious about selling their business during the global pandemic. But it is possible to achieve business sale success during Covid-19.
A guide to selling your business
So, you’ve decided to sell your business. You want to change your lifestyle, spend more time with your family, grow your wealth in a completely different direction… Whatever the reason – selling your business is the means to get there. But you’ve never done this before! So where do you start?
Here’s a handy guide to selling your business from the start to the very end (or shall we say, ‘new beginning’.)
Assessing your business through your client’s eyes
When we spend most of our time working “in” our business, innovating, fixing problems, creating new ways to be profitable, managing staff, dealing with clients – it’s hard to zoom out and see what our client’s see. But this is the most important perception when it comes to analysing and assessing your business and then be able to work “on” the business.
Restraint of trade / non-compete clauses explained
When selling a business, a restraint of trade/non-compete agreement is crucial to give the buyer peace of mind when taking over the reins. Why? Let us explain..
Buying and selling during a recession
COVID-19. A pandemic that became a daily topic since early 2020 has rocked the world. Now, in 2021, we are still under the firm grasp of COVID but what does that mean for our business?
Why use a business broker?
In a world full of DIY options, ‘do it yourself’ business buying and selling sound appealing to the ever-learning, multi-tasking business owner that you are. You’ve managed to establish and grow a business of your own, maybe from scratch, maybe from one that was previously showing little profit! Either way, you’ve got this… right? Unfortunately, no. We hate to be so blunt, but there is a reason why Business Brokers exist. Actually, there are many reasons! Let’s outline a few to break the ice.
Business Broking – Myth Buster Edition
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Valuations in a Covid-era
The pre-COVID methods of valuing a business affected in these times, needs re-thinking. So how do you value a business in this covid-era? Let us explain
Can Your Business Work Without You?
As part of your succession planning, ensuring your business can operate and succeed without you involved in the day-to-day activity is essential. This allows for better work/life balance whilst also proving to potential buyers that the business can easily be transferred from owner to owner, without disrupting operations and profitability thereby ensuring that the goodwill…
Retaining Staff During a Business Sale
Losing key employees during the business sale process could both damage the business before the successful sale is finalised, or potentially stop the business sale from being completed. There are a few main reasons as to why staff leave a business when they hear it is for sale. These include: Job security – They fear…
The Importance of a Non-disclosure Agreement
A non-disclosure agreement otherwise known as a confidentiality disclosure agreement or NDA/CDA, is a legally binding document that safeguards business owners during the sale of their business. When selling a business, part of a potential buyer’s due diligence is to investigate your business from a to z; examining profitability, financial statements, staff rosters and often…
What is ‘Goodwill’?
According to the Oxford Dictionary, Goodwill is: “The established reputation of a business regarded as a quantifiable asset and calculated as part of its value when it is sold.” What does that mean when we talk about business? A business’ goodwill can be viewed somewhat as their reputation. Goodwill isn’t a tangible asset. Although it…
The Importance of Intangible Assets
According to business sales data (BIZSTATSTM) approximately 60% of a business sale price is allocated to intangible assets. This figure varies greatly from business to business, however, the value of intangible assets in a modern age is increasing. Let us explain. What are ‘intangible assets’? Intangible assets are assets that don’t physically exist. I.e. They…
Adding Value to Your Business Before it’s Time to Sell
A successful business could change hands many times during its life, whether to family members or unrelated parties who are passionate about continuing what you started. When it comes time to sell your business, it is important to present it to potential buyers in the best possible light. This doesn’t mean just looking good on…
Valuation vs. Appraisal – Which One Do I Need?
When you approach the end of your business ownership journey and are preparing to sell, you need to determine the market price of your business. A business’ market price is dependent on current market conditions, it’s history of success & profitability, future profit forecasts, goodwill, stock, assets and much more. Determining the ‘value’ of your…
Building a Business Worth Selling
Building your own business takes years of sacrifice, hard work and often delayed earnings. Selling your business for the right price, is a chance to reap the substantial rewards for your years of hard work and associated risks. Key things to think about when starting your business Structure – Getting the business structure right could…
Family Business – Is Your Succession Plan in Place?
Succession planning, otherwise known as creating an ‘exit strategy’ is both an important and beneficial planning tool for anyone owning their own business. However, for a family-owned and operated business, there are even more considerations than normal; as instead of setting your business up for a new owner to take over, the plan may be…
Tax Implications When Selling a Business
When selling a business there are many considerations that need to be taken into account. The sale of arguably your largest asset can be an emotional roller coaster, hence being well prepared will assist you through the entire process. Prior to listing your business for sale, it is vital that all tax implications are understood…
Understanding Put and Call Options in a Business Sale
Put & Call Options are normally associated with the purchase of shares in a company when the current owner agrees to sell a portion of the shareholding in the business to a new Buyer, while agreeing to remain as a working shareholder in the business for an agreed period of time and on agreed terms….
Instant Asset Write-Off: How Does This Affect Me?
On the 2nd of April 2019, the threshold for small business instant asset write-off increased from $25,000 to $30,000. Announced by the Government, this increase is available to all ‘small businesses’ with an aggregated annual turnover of less than $10 million. What is instant asset write-off? Businesses that meet the criteria of a ‘small business’…
Sale of Shares Vs Business Sale; Which Is Best?
Buying a business can be an intricate and in-depth process. There are many ways a business can be bought, sold or the ownership divided between several parties. A business sale occurs when a business is sold in full, allowing full ownership to be transferred from the previous owner to the buyer. In cases where the…
Things to Look for When Selecting Your Business Broker
Some decisions in life shouldn’t be made quickly and carelessly. Finding the perfect wedding photographer for example, or even choosing to propose for that matter! Just as those decisions could change the course of your life, selecting the right Business Broker to sell your business can have ripple effects that can either grow into great…
When Is the Best Time to Sell My Business?
For most business owners, selling occurs out of need as opposed to want. You may need to sell due to financial, health or family reasons, which unfortunately dictate one of the most crucial planning points of a sale, the question of ‘when’ it occurs. Ultimately, if you are in the position to make a clear…
The Role of a Business Broker
Buying and selling businesses can seem straight forward, especially when looking in from the outside. However, there are many things to consider when doing so, which we covered in our previous blog ‘Understanding the Business Sale Process’. Your Business Broker becomes your mentor throughout your sale process. Whether you are the buyer or seller, the…
Getting to Know Core Business Brokers
AN INTERVIEW WITH PETER GOLDING AND ROY LEVY Getting to know your Business Broker is an important part of your decision-making process when looking to buy a business or beginning your sale journey. Here at Core Business Brokers, we pride ourselves on our customer relationships, professionalism and the importance we place on trust, honesty and…
Understanding the Business Sale Process
You’ve decided to sell your business, but this terrain is unfamiliar. What is involved? Who should you contact? What does the process entail? In a business sale, there are many factors to consider, so we decided to outline the process, allowing you to begin your business sale journey with a better understanding of the steps…
Planning Your Exit Strategy
Planning your exit strategy, otherwise referred to as your ‘succession plan’ can seem like a daunting task. However, it is an important factor that should be planned well, before the need arises. Think of an exit strategy like any other important planning task – you have a big event on and need a specific outfit,…
Thinking about Selling your Business?
You’ve worked hard in your business, spent long hours building it up and now you’re ready to move on. If you don’t have time or passion for it anymore, or you need a lifestyle change, when you are ready to exit we are here to help. Just like running your business takes years of experience…
What is the Normal SALES process?
Each business sale will vary however below is a Typical Sales Process Guide. Enquiry A potential buyer enquires about the listing seen on either the Core Business brokers web site or the other paid web sites included in the marketing of the business. Once a confidentiality agreement is signed and completed a business profile is provided….