Selling An Insurance Agency Insurance agencies are well known in the business community for having the benefits of having a recurring book of business with a high degree of visibility for future sales and profits. The consistent and stable business characteristics of insurance agencies attracts many different business buyers. Owners of insurance agencies should know … Read more
Establish Trust In business as in life, establishing personal rapport and honest communication is essential for two parties to trust and understand one another. When buying and selling a South Florida business, the direct principals of the deal (the buyer and seller) invariably meet in person at some point in the sales process. This in-person … Read more
Deposits For Business Sales Many buyers and sellers of businesses are somewhat surprised to learn that deposits play far less of a role in business sales compared to real estate sales. In fact, deposits sometimes are not even given at all in many business deals. Business valuations may quickly change due to shifting business conditions, … Read more
Liquidity Affects Business Valuation A fundamental tenet of the law of supply and demand is that a market-based price is determined by an agreement between a willing buyer and a willing seller. More demand from more buyers raises the market-based price while less demand lowers the price. Business sale transactions also follow this fundamental tenet. … Read more
Increase Your Business Valuation No matter the reason for wanting to sell one’s business, every South Florida business owner wants to maximize their purchase price. If possible, many business owners may increase their valuation by taking long term steps that will result in buyers generally placing a premium on the business valuation. Although these steps … Read more
Selling A Car Wash Car washes represent a very attractive investment for many different types of investors in South Florida. Car wash business owners often also own the underlying land and real estate, which must be valued as an income producing property. A car wash business which rents space should be valued using a multiple … Read more
Liquor Store Sales Liquor stores in South Florida are viewed by many buyers as stable and sound investments. The consumption of alcohol rarely goes out of style, and there are significant barriers of entry to new competitors by virtue of the high cost to open a liquor store and the difficulty in procuring the necessary … Read more
Restaurant Industry In A ‘Buyer’s Market’ It is no secret that the coronavirus was not kind to the restaurant industry. Indeed, approximately 1 out of 6 restaurants closed within six months of the start of the pandemic. Many restaurants have since rebounded, often by emphasizing take-out or delivery. Nevertheless, there is an unusually high level … Read more
Seller-Financing The great majority of business sellers deservedly want and expect to get paid in full at closing. Once a deal closes, the buyer receives the business, and the seller expects to receive the money for the business in return. In reality, however, many business deals are partially seller-financed. This means that the seller receives … Read more
Post-Closing Transition Ensuring a smooth hand-over of a business from the seller to the buyer is critical in a business transaction. Buyers frequently need to be assured that the seller will help the buyer overcome a myriad of transitional issues after the sale occurs. Potential transitional issues after the sale include introducing the buyer to … Read more