When is the Right Time to Sell a Business?

Wondering when the right time to exit your business is a natural question for a small business owner to have. The short answer to the question, when is the right to sell, is 1-2 years before you want to, to allow room for the sale process. But there are many factors that come into play when it comes time to exit your business that you can prepare for to better answer when the right time to sell yo

Transaction Announcement

Business Broker, Patrick Bombardiere, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Environmental Mitigation Industry   Denver, Colo., United States (November 1, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that an environmental mitigation business exchanged hand

Learn & Grow

As a small business, we have built our company on a number of core values that we believe represent how we want to serve our community, how we want to act as professionals, and help us guide our service offerings from a solid foundation. Transworld’s core values are Tenacity, Learn & Grow, Be a Professional, and Small Business Advocacy. Today we would like to take a closer look at our second

Sharing Financial Information With Your Business Broker

Preparing to sell your business can be a stressful time for many. Thinking about the return you hope to receive from the sale, the plans you have for retirement, or a new career - it can all be a little too much. But using a business broker is a great way to relieve the stress of the process, ensure you can receive a good return on investment, and keep the process confidential.   To begin,

Common Business Sale Questions Answered

When you’re thinking of selling your business, it is common to have a lot of questions about the process and what to expect. Below we’ve addressed a few of the top questions you may have to begin the conversation around selling a business.   Q: Can I sell my business without a business broker? A: The short answer is yes, but the long answer is that it is ill-advised. A business

The Final Step: Training & Transition

Once you reach the closing table, the transaction is not quite done. There is one final step in the transaction process and that’s the training and transition period! Soon following the closing activities, the buyer and seller will present the change in ownership to the management and employees of the company. While this discussion sounds simple enough, it is absolutely integral that the buy

Our Core Values: Tenacity

As a small business, we have built our company on a number of core values that we believe represent how we want to serve our community, how we want to act as professionals, and help us guide our service offerings from a solid foundation. Transworld’s core values are Tenacity, Learn & Grow, Be a Professional, and Small Business Advocacy. Today we would like to take a closer look at our first

How to Get Ready for a Business Exit

When you begin to think about selling your business, it can seem overwhelming! Where should you start? What will you need to be ready for? So we’ve prepared a brief cheat sheet of the first few steps you can take towards your business exit.   Build Your Professional Team. There are three important professionals best equipped to help you prepare for, and complete your business exit and

The Closing Table

We have finally made it to the closing table! All Pre-Closing activities such as transferring the lease, the buyer and seller statements, and finalizing the financing have been completed. Funnily enough though, most closings are completed virtually, so there is no actual closing table per say, but that doesn’t make arriving at closing any less significant!   At closing, the asset purc

How to Identify a Professional Business Broker?

Working with a qualified, professional business broker can mean the difference between selling your business at a great value or never selling your business at all. So the questions becomes, how do you identify a professional business broker to begin with? In the following discussion, we will outline a number of qualifications a professional business broker will have to ensure they are an appropri

Can I Sell My Business?

Working in business brokerage the idea of a business’s salability often comes up in conversation. Many business owners think selling their business is outside of the realm of possibility, for any number of reasons - size, industry or even because it is home-based. So business owners are often surprised and delighted to hear, that yes their business is salable.   The idea of a business

The Penultimate Piece of the Process: Pre-Closing

Due diligence has come and gone and the closing table is in sight. But we’re not quite there yet because a lot has to be accomplished for the buyer and seller to close on their business.   Pre-closing is when a large list of items gets buttoned up before closing, and the broker manages this whole process for the buyer, seller and their attorneys. These items can range from transfering

Beyond the Google Search: Selecting an Attorney to Represent Your Business Sale

When taking on the sale of your business it is important to have a highly qualified team in place. Outside of your business broker, we recommend sellers work with a finance professional as well as an attorney. Selecting an attorney to represent the sale of your business, goes far beyond simply Googling transactional attorneys. You will want to make sure that the attorney you choose has the right e

Doing Due Diligence Justice

In our latest discussion of the business sale process, we outlined the submission of the letter of intent by the buyer to the seller of the business. With the submission and acceptance of the letter of intent the period of due diligence begins. The length of the due diligence period is outlined in the letter of intent and can vary from business to business, but generally for a small business only

Transaction Announcement

Business Broker & Managing Director, Al Fialkovich, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Liquor Retail Industry   Denver, Colo., United States (July 11, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a liquor retail company traded hands due to the fac

What Does a Business Broker Bring to the Table?

It’s not uncommon to hear of a friend of a friend who sold their business without representation, but have you heard whether the deal was actually good or if their business suffered while it was for sale? Usually those details are kept under wraps and for good reason. Because the answers are likely, the deal was difficult, the sale price was much lower than expected, and, yes, the business s

What Do Business Buyers Want?

Navigating the business for sale marketplace can be a complex task. There are hundreds upon thousands of businesses for sale across the United States (and even abroad). These businesses come in all shapes and sizes from home-based, owner/operator companies, and franchise resales, to 200 employee construction businesses and multi-location salons. With so many options available for purchase, what ar

Transaction Announcement

Business Broker, Alex Dvorak, of Transworld Business Advisors - Rocky Mountain Closes A Transaction in the Janitorial Industry   Denver, Colo., United States (June 20, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a janitorial service and supply company traded hands due to the facilitation

Transaction Announcement

Business Broker, Patrick Bombardiere, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Health & Wellness Industry   Denver, Colo., United States (June 14, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a health & wellness company traded hands due to the support o

Submitting a Letter of Intent

In our previous discussion of selling a business we took a moment to sit down with the seller and tour their operations. This discussion will take the process one step further to explain what happens when the buyer submits a letter of intent. A letter of intent (LOI) is a non-binding contract that formalizes the terms and conditions if the buyer were to purchase the business. The LOI pays special

Transaction Announcement - Commercial Painting Industry

Business Broker, Ross Haymes, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Painting Industry   Denver, Colo., United States (June 8, 2017) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a local painting company changed hands with the facilitation of Ross Haymes. &

Cobroking in Business Brokerage: Why It Matters?

Business brokers are transactional advisors - as such it is our mission to educate the small business community and connect business sellers with business buyers. On the surface, cobroking may not seem like a big deal, but let me give you a little backstory. First a simple explanation of cobroking is when two business brokers collaborate on a transaction across brokerage offices, one broker repres

Transaction Announcement

Business Broker, Gregg Kunz, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Flooring Industry   Denver, Colo., United States (June 5, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a commercial flooring company traded hands due to the support of Gregg Kunz. &n

Transaction Announcement

Business Broker, Nathan Willis, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Rafting Industry   Denver, Colo., United States (May 31, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a rafting & adventure company traded hands due to the support of Nathan Willis

Doing Your Due Diligence as a Business Owner

While technically speaking Due Diligence is an aspect of the business sale process, it can also be used as an informative tool for business owners. As a business owner, taking a hard look at your business from a buyer’s perspective is a great way to help you get your business in a better place prior to sale, or to simply add value to your current operations.   Performing your own due

Sitting Down with the Seller & Touring the Business

The last time we discussed the process of selling a business, we looked at the first buyer meeting, where the buyer met with their broker for an initial meeting and learned more about the business in question. At this point in the process, the buyer has a clear interest in moving forward with the business purchase and so it is time to be introduced to the seller.   A second meeting is set u

Selling a Business: What Does the Time Commitment Look Like?

When selling your business it is normal to wonder how long you can expect the process to take from execution of the marketing agreement to the execution of the purchase agreement. And honestly, there isn’t one way to answer this question, because there are so many variables at play.   If your business is in tip top shape, with clean records, great cash flow, no daily oversight require

Transaction Announcement

Broker and Managing Director, Al Fialkovich, of Transworld Business Advisors - Rocky Mountain Closes A Transaction in the Coffee Industry   Denver, Colo., United States (May 09, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a local coffee shop traded hands with the support of Al Fialkovich

2018 National Small Business Week

National Small Business Week has arrived and while we like to think we celebrate small business every day here at Transworld - we can always use a good reason to cheer on the small businesses community in Colorado!   This week we will be sharing quotes about small business straight from the team members who work with them every day and have many years of experience themselves as small busin

2018 National Small Business Week

National Small Business Week has arrived and while we like to think we celebrate small business every day here at Transworld - we can always use a good reason to cheer on the small businesses community in Colorado!   This week we will be sharing quotes about small business straight from the team members who work with them every day and have many years of experience themselves as small busin

2018 National Small Business Week

National Small Business Week has arrived and while we like to think we celebrate small business every day here at Transworld - we can always use a good reason to cheer on the small businesses community in Colorado!   This week we will be sharing quotes about small business straight from the team members who work with them every day and have many years of experience themselves as small busin

We Are More Than Just Transaction Advisors

We talk a lot about core values at Transworld - Rocky Mountain, because to us they aren’t just words you slap up on a website, they have gravitas. We take our core values of Tenacity, Learn & Grow, Be a Professional, and Small Business Advocacy to heart and try to embody them in our work every single day. We want to make sure we are supporting Colorado’s small business community in a h

2018 National Small Business Week

National Small Business Week has arrived and while we like to think we celebrate small business every day here at Transworld - we can always use a good reason to cheer on the small businesses community in Colorado!   This week we will be sharing quotes about small business straight from the team members who work with them every day and have many years of experience themselves as small busin

2018 National Small Business Week

National Small Business Week has arrived and while we like to think we celebrate small business every day here at Transworld - we can always use a good reason to cheer on the small businesses community in Colorado!   This week we will be sharing quotes about small business straight from the team members who work with them every day and have many years of experience themselves as small busin

Your Business is Listed for Sale, Now What?

So your business is listed for sale with Transworld - Rocky Mountain, now what? While you may think the answer is complex, our advice is actually pretty simple. Keep up with your status quo!   If you usually get to work by 7:30 AM, grab coffee and start checking emails - do just that. If you have a sales meeting scheduled for every Wednesday at 12 noon, than keep those scheduled. The idea

Transaction Announcement

Broker and Managing Director, Al Fialkovich, of Transworld Business Advisors - Rocky Mountain Closes A Transaction in the Home Improvement Distribution Industry   Denver, Colo., United States (April 24, 2017) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a home improvement distribution business

Transaction Announcement

Broker and Managing Director, Al Fialkovich, of Transworld Business Advisors - Rocky Mountain Closes A Transaction in the Catering Industry   Denver, Colo., United States (April 24, 2017) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a catering company traded hands with the support of Al Fialkov

Transaction Announcement

Business Broker, Chris Warfel, of Transworld Business Advisors - Rocky Mountain Closes A Transaction in the Pack and  Ship Industry   Denver, Colo., United States (April 23, 2017) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a local pack and ship business traded hands with the support of C

Transaction Announcement

Business Broker, Ross Haymes, of Transworld Business Advisors - Rocky Mountain Closes A Transaction in the Dental Industry   Denver, Colo., United States (April 23, 2017) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a dental lab business traded hands with the aid and support of Ross Haymes. &n

Quarter One 2018 Market Insight Report

Introduction. The small business sector of the M&A market continues to grow, even following 2017’s record breaking data. In fact, BizBuySell’s survey of business brokers nationwide in December of 2017, showed that brokers expect the market to at least remain consistent if it does not continue to increase in the near future. In Transworld - Rocky Mountain’s specific service area,

The First Meeting: A Basic Company Review

After a buyer inquires about a business, has signed a non-disclosure agreement, and decides they are officially interested in learning more about the company, their broker will request a meeting with them to take the first steps towards getting to know the business for sale better.   The first meeting takes place between the broker and the buyer - the seller does not join the conversation u

Transaction Announcement - Fitness Industry

Business Broker, Chris Cantwell, of Transworld Business Advisors - Rocky Mountain Closes A Transaction in the Fitness Industry   Denver, Colo., United States (April 12, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a local group fitness gym traded hands with the support of Chris Cantwell.

The Benefits of Using a Business Broker

Business brokers have finely honed expertise they use to support the sale of your business, in addition to their real estate licensing, they hold memberships with organizations such as the Colorado Association of Business Intermediaries (CABI) and the International Business Brokers Association (IBBA). These organizations provide industry support, a vast network, continuing education, training oppo

A Buyer Inquires

One of Transworld’s service goals is to not simply list a business for sale, but to proactively market a business to identify a great buyer. So when a buyer eventually inquires on a business for sale, they can come from quite a few places. They may come in through our website listings or Biz Buy Sell, they can come as a referral from a trusted resource in our professional network like an att

What Is EBITDA?

EBITDA is an acronym for earnings before interest, taxes, depreciation, and amortization. Using a company’s EBITDA allows an experienced business broker to develop the fair market value of a business. EBITDA allows for the elimination of non-operating costs that are unique to each business, while also allowing you to focus on a company’s operating profitability to measure its performan

The Seller’s Role Post Sale

The Question How long do sellers typically stay with their business following its sale?   The Answer The answer to this question depends on the business itself and, of course, the seller. If the business is quite a large manufacturing facility with a lot of moving parts, than the seller may stay up to a month, possibly longer. If the business is a small home based business or the buyer is

Transaction Announcement

Business Broker, Ross Haymes, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Cleaning Industry   Denver, Colo., United States (March 1st, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a commercial cleaning business traded hands with the support of Ross Haymes.

Taking Your Business to Market

During the business sale process, following information collection, it is time for your Business Broker to get your listing out to the market! One of the main responsibilities of a business broker is to pair off buyers with sellers and visa versa. The marketing of each business is different depending on the specific business and its industry. Generally marketing activities are split into two categ

How to Increase the Value of Your Business

Most business owners eat, sleep, and breathe their businesses. But are they doing everything they can to build value into them? Increasing the value of your business has a number of benefits from building a stronger more resilient business to readying your business for sale when the time comes. Following are five strategies a business owner can implement to increase the value of their business. &

Do You Have an Exit Strategy?

It is never too early to begin planning for a strategic exit from your business! While we like to think we are in control, you can never know what the future holds that could throw us off course. Putting in place a sound plan to exit your business will help facilitate a faster exit when the time comes and can provide for a higher return on investment.   The following options outline three o

Information Collection

After Building Your Team, the business sale process begins to get real with the collection of information by your broker. The information collection step while not everyone’s favorite, provides your broker with all of the necessary information to understand your business, and get it listed for sale!   Once the marketing agreement has been signed, your business broker will begin to col

Transaction Announcement

Business Broker,  Chris Cantwell, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Restaurant Industry   Denver, Colo., United States (February 7th, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that a pizza and pasta restaurant traded hands with the support of

Transaction Announcement

Business Broker,  Chris Cantwell, of Transworld Business Advisors - Rocky Mountain Closes a Transaction in the Gaming Retail Industry   Denver, Colo., United States (February 7th, 2018) – Transworld Business Advisors - Rocky Mountain, a leading business brokerage firm in the state of Colorado, is pleased to announce that retail game store traded hands with the support of Chris Ca

What Makes Your Business an Ideal Purchase?

While all buyers are different, there are a number of factors that make a business an ideal purchase, buyer preferences aside. As a seller, you can keep these factors in mind to help move the needle for a prospective buyer. The considerations that follow will provide some great insight into what a buyer might be looking for. Established Revenue & Profitability: This shows stability and traction i

Building Your Team

Following the preparation step of selling your business, comes one of the most integral parts of the process, building your team! Why is this step so integral, you might ask? Well, a good team can mean the difference between selling your business or not, or negotiating a good deal or not - are you starting to get the picture?   Building a team of qualified and experienced advisors will you

Preparation

One of Transworld's core values is small business advocacy a key component of which is sharing educational information and resources with clients and our community to help them make informed decisions for the future of their business. So today we will begin working our way through the 12 step process of selling a business, starting with Preparation. Preparing for the sale of your business is

Transaction Announcement

Broker and Managing Director, Al Fialkovich, of Transworld Business Advisors of Colorado Closes A Transaction in the Sales Training Industry   Denver, Colo., United States (January 4th, 2017) – Transworld Business Advisors of Colorado, a leading business brokerage firm in the state of Colorado, is pleased to announce that a local sales training business was traded to a new owner with

Transaction Announcement

Broker and Managing Director, Al Fialkovich, of Transworld Business Advisors of Colorado Closes A Transaction in the Sales Training Industry   Denver, Colo., United States (January 4th, 2017) – Transworld Business Advisors of Colorado, a leading business brokerage firm in the state of Colorado, is pleased to announce that a local sales training business was traded to a new owner with

Transaction Announcement

Broker and Managing Director, Al Fialkovich, of Transworld Business Advisors of Colorado Closes A Transaction in the Sales Training Industry   Denver, Colo., United States (January 4th, 2017) – Transworld Business Advisors of Colorado, a leading business brokerage firm in the state of Colorado, is pleased to announce that a local sales training business was traded to a new owner with

Preparation

One of Transworld’s core values is small business advocacy a key component of which is sharing educational information and resources with clients and our community to help them make informed decisions for the future of their business. So today we will begin working our way through the 12 step process of selling a business, starting with Preparation.   Preparing for the sale of your bu

What Is Your Business Worth?

The start of 2018 brings with it a certain amount of introspection into the status quo. It is also the time of year many small business owners review their business plans and develop ideas for the new year. All of this thinking and review may bring about the question, "How much is my business worth?" This is a great question to ask whether you are looking to grow your business or sell in 2018. Th

The Financial Documents Needed to Sell Your Business

It is our job to help prepare a seller and their business for the sale process and part of this discussion is identifying the records and documents we will need to substantiate the business. At the start of working with a seller it is necessary to evaluate their business and provide a valuation of its worth as a starting point for determining the sales price. At this point access to their total s

Advocating For Your Small Business

Business Brokers get the chance to work with a lot of people on a daily basis from professionals selling their businesses, and co-broking with other business brokers to attorneys, CPAs and future entrepreneurs. All of these daily interactions can make it confusing as to whom we are advocating for. But at the end of the day we are always advocating for your small business – its current succes

When It Comes to Selling Your Business, Timing is Key

Many business owners, when they get their business up and running, do not build their exit into their business plan. But why not? When you start your business, you may have plans to keep it in the family or planning for your exit is just one more thing on your plate that you just don’t have the time for. But what if something happens, and you need to retire early? Or your children don&rsqu

Is 2018 the Year to Sell?

As we start our journey through the holiday season, beginning with Thanksgiving tomorrow, many adults begin to reflect on the status quo. Am I where I wanted to be at 45, 55, 65…? Am I making enough money to continue to support my family, pay for college, and save for retirement? Is 2018 the year I would like to sell my business and retire to spend time with my family and to travel? These a

Who is Qualified to Sell My Business?

Selling your business is one of the most significant decisions an entrepreneur can make. Often times a substantial amount of a business owner’s wealth is tied up in their business and they are unsure of how to extract that wealth and from what professional they should seek guidance from. When thinking about selling it is integral to select a quality team of industry-familiar professionals to

Common Seller Questions Addressed

Most professionals thinking about selling their business have never been through the process before, so they naturally have quite a few questions about starting the process and the actual process itself. So today we will be addressing some of the questions we hear quite often from our sellers to hopefully ease your mind. I have been thinking about selling my business myself, is this something I ca

#12 Buying and Selling a Business in Colorado: Training and Transition

The work of closing a transaction is not quite complete following the actual closing activities, as described in blog eleven of our series. There is one final step in the process and that is training and transition! The Training and Transition period takes place the day of, or soon after Closing. The Buyer and Seller, in concert, hold a closing meeting with management and employees of the company

Should You Sell Your Business at Its Peak?

As business owners, we want to reap the benefits of our businesses doing well for as long as possible. However, when you are planning a strategic exit it might be smart to sell at the peak of your business's performance. Although that seems counterintuitive it can be an ideal time to sell your business because of the reasons we have outlined below! Highest Valuation. Valuations of companies a

#11 Buying and Selling a Business in Colorado: Closing

Finally following our discussions of Pre-Closing in blog ten of our series we have made it to Closing! Closing is that monumental step that everyone pictures in their mind when thinking about buying or selling a business. It brings up that great image of contracts being signed with fountain pens and keys jingling as they are exchanged. In actuality, most closings are done virtually these days. The

What Makes a Business Salable?

Business ownership is a unique venture. It gives the owner the opportunity to be in control and work for themselves. But most importantly, it is the chance to work in an industry you love, or produce a product or provide a service you feel strongly about. This is all fine and dandy until it comes time to exit your business and you wonder if it was all worth it in the end; is your business truly sa

#9 Buying and Selling a Business in Colorado: Due Diligence

The letter of intent was submitted in part eight of our blog post series and now comes the time for due diligence. The due diligence period is outlined in the letter of intent and is a time for the buyer to explore the business in question. The length of time for due diligence varies, but generally, a week or two for small businesses is all that is required. During this period of validation for th

#10 Buying and Selling a Business in Colorado: Pre-Closing

In part nine of our series, we walked through the Due Diligence period. Now it might seem that the next natural step is the Closing period, but there is a lot of work to complete between now and Closing! So we have made room for a step in the process called Pre-Closing. It is during this step that a whirlwind of work is finished so that the buyers and sellers can be taken to close. Pre-Closing inc

The Complexities of the Liquor License Transfer in Denver

Working in business brokerage, Transworld Colorado is used to performing a number of i dotting and t crossing activities. But recently there have been some changes to the regulations governing liquor license transfers that we sought professional help to better understand. Enter Peter Nemkov, a private practice attorney with Nemkov and Bonifazi, PLLC who boasts deal experience with approximately 2,

Identifying the Right Attorney for a Business Transaction

Selling a business is a process that requires organization - a lot of "t" crossing and "i" dotting. Building a team of professionals to support this process is integral to ensuring a smooth transaction. Aside from working closely with an established business broker, hiring a transactional attorney will provide you much-needed leverage and support especially when you reach the closing table. When i

How Long Does it Take to Sell a Business (Part 2)

We received a lot of feedback from our first post on how long it takes to sell a business. So to follow up our Managing Director, Al Fialkovich, has answered a few of the questions we received here:   Based on businesses you've sold and the market, can you give us an average length of time it takes to sell a business? Typically, the industry average to sell a business is 9.5 mo

#8 Buying and Selling a Business in Colorado: The Letter of Intent

In our last post in our buying and selling series, the buyer participated in their second meeting and review of the company with the broker and seller. The buyer is now ready to submit a letter of intent (LOI) to the seller with the help of their broker. The LOI will outline the ideal specifics of the deal structure inclusive of the following information: The price the buyer is willing to

Is My Business Salable?

Is my business salable? This is a question every business owner ponders and it may even keep them up at night. But it doesn?t have to, by the end of this discussion you will be able to deduce whether your business has what it takes to be sold. While there are many variables that intersect and create an?opportunity for sale (or not), at the end of the day the market will dictate whether your busin

What Does The Transworld Sale Process Look Like?

When selling a business, there is a lot on the line thus lending itself to a stressful situation for most business owners. This is especially the case when you're not familiar with each step of the sale process. Developed via 35+ years of experience, Transworld Business Advisors has mastered a system for selling a business which provides a complete and seamless experience for both buyers and

Why You Should Use a Business Broker to Sell Your Business

When business owners are looking to transition out of their business for a variety of reasons - relocation, retirement, and change of career - they are presented with multiple options in regards to the future of their company. Should they close? Transfer to an employee or family member? Or sell? And if they sell should they do it on their on or through a small business broker. If the choice is to

The Baby Boomer Seller Tsunami: How it Affects the Value of your Business

No one can argue that the impending baby boomers retirement will affect how business markets operate currently. And it will be no different for mergers and acquisitions and small business sales. In the current market, it is estimated that approximately 30,000 - 50,000 business sales occur every year. With the wave of baby boomers planning to exit their businesses, however, SME Research predicts th

How Long Does It Take To Sell A Business?

How long does it take to sell a business? I can say, without fear of contradiction, "It depends." It depends on the market: Right now the market for business sales is warm to hot. The economy is improving, especially in Colorado Currently, money for business acquisitions is cheap. Baby Boomers are leaving the corporate world in droves, and many are looking for Career 2.0. It depends on th

How Do I Get My Business Ready for Sale?

How can you get your business ready to sell? First, we need to answer this question, "How soon are you planning to sell?" If you want to start the process right away, then we will stick to the basics. #1. Get your financial reports in shape. Buyers typically want to see at least three years of financial data. When we list a company at Transworld, we will ask for three years of tax returns, plus

What is Seller Financing?

"Financing. Where do I get it?" It's one of the most frequently asked questions we encounter with potential business buyers and, perhaps, the one with the biggest number of answers! At Transworld, we specialize in walking buyers through different financing options. Some options are well-known, like SBA Loans, Conventional Loans, and the use of private investors. Other financing options may no

How Much is My Business Worth?

If you are a business owner contemplating selling your company, chances are your first question is "How much is my business worth?" This logical inquiry into a company's worth is the number one concern of most of our sellers and is of the utmost importance to any qualified potential buyer. So how should you go about finding out the true valuation of your company when preparing for a sale

Is 2016 the Year to Sell Your Business?

Reports for small business sales in 2015 hit the internet this week. According to BuyBizSell.com's Insight Report, "While the number of businesses that changed hands decreased slightly [in 2015], key financial indicators reached all-time highs, indicating a healthy, more balanced market." Does that mean that 2016 is going to improve even more? Is 2016 the year to sell your business? We have

Independent Contractor Resources

As we represent many current and new business owners in Colorado, we understand that independent contractors can be a benefit and a detriment to a business, particularly during a business sale. We have created a three-part series that will describe independent contractors, how they affect a business sale and how to make sure you are following regulations to avoid penalties or problems during a sal

What Does a Business Broker Charge?

You are selling your business. Great! You've decided to use a business broker. Even better. A professional business broker will guide you through the entire process --> analysis and pricing, development of a custom marketing strategy, buyer search and qualification, deal structuring, and negotiation and of course, closing. What Does a Business Broker Charge? The truth is, it depends on the

How Independent Contractors Can Affect the Sale of a Business

As we represent many current and new business owners in Colorado, we understand that independent contractors can be a major influence on a business and particularly a business sale. We have created a three-part series that will describe independent contractors, how they affect a business sale and how to make sure you are following regulations to avoid penalties. In Part 2 of our series, we describ

How Long Does It Take to Sell a Business?

How long does it take to sell a business? I can say, without fear of contradiction, "It depends." It depends on the market: At this very moment, the market for business sales is warm to hot. The economy is improving, especially in Colorado, but it will not stay that way forever. Currently, money for business acquisitions is cheap. Baby Boomers are leaving the corporate world in droves, and m

What Records Should I Make Available to a Potential Buyer?

Yes, this is business, but for you, the small business owner, it feels personal. Your business is special, important and it is yours. So when it comes time to revealing sensitive information to a total stranger (the buyer), it is natural for you to be cautious. It is true, that potential buyer is a stranger. It is someone who probably doesn't know you and someone who most certainly is not pr

Introduction to Independent Contractors

As we represent many current and new business owners in Colorado, we understand that independent contractors can be both a benefit and a detriment to a business and particularly during a business sale. We have created a three-part series that will describe what independent contractors are, how they affect a business sale, and how to make sure you are following regulations to avoid penalties or pro

Top 5 Ways a Seller Can Make Themselves Attractive to a Buyer: Industry

When business owners are preparing to sell their businesses, there are many ways they can make themselves attractive to buyers. As we represent many current and new business owners in Colorado, we have compiled the top five ways sellers can make themselves attractive to buyers. In Part 2 of our series, we will focus on Industry. We all know industries experience ups and downs. Factors that might

Top 5 Ways a Seller Can Make Themselves Attractive to a Buyer: Culture

When business owners are preparing to sell their businesses, there are many ways they can make themselves attractive to buyers. As we represent many current and new business owners in Colorado, we have compiled the top five ways sellers can make themselves attractive to buyers. In Part 2 of our series, we will focus on Culture. When a buyer is looking to buy a business he/she wants his/her cultur

So You've Liquidated Your Business, Now What?

Avoiding common mistakes after selling your business can be a challenge. People tend to make decisions through their own lens of experience, and chances are if you have started or run a business and are now selling your business, you may want to do it again. What do you need to consider before redeploying your assets into a new venture? There are three keys to a successful transition from business

Top 5 Ways a Seller Can Make Themselves Attractive to a Buyer: Reputation

Part 3: Reputation When business owners are preparing to sell their businesses, there are many ways they can make themselves attractive to buyers. As we represent many current and new business owners in Colorado, we have compiled the top five ways sellers can make themselves attractive to buyers. In Part 3 of our series, we will focus on Reputation. A business's reputation is not only vital

Top 5 Ways a Seller Can Make Themselves Attractive to a Buyer: Organizational Structure

Part 2: Organizational Structure When business owners are preparing to sell their businesses, there are many ways they can make themselves attractive to buyers. As we represent many current and new business owners in Colorado, we have compiled the top five ways sellers can make themselves attractive to buyers. In Part 2 of our series, we will focus on Organizational Structure. The way a business

How Can I Prevent My Employees/Customers/Vendors from Knowing I'm Selling my Business?

The question boils down to confidentiality. Maintaining confidentiality is critical to the business owner while they sell their business. After all, the process of selling a business typically takes several months from start to finish, which is a lot of time for the reputation or profits of a business to become marred from sale rumors. Business owners are rightfully concerned that their busi

Top 5 Ways a Seller Can Make Themselves Attractive to a Buyer: Cash Flow

Part 1: Cash Flow When business owners are preparing to sell their businesses, there are many ways they can make themselves attractive to buyers. As we represent many current and new business owners in Colorado, we have compiled the top five ways sellers can make themselves attractive to buyers. In Part 1 of our series, we will focus on Cash Flow. When business owners are preparing to sell their

What Financial Records Will I Need to Share to Sell my Business?

Working at Transworld we have discussions with sellers on a daily basis. Inevitably the question of, "What financial records will I need to share to sell my business?" arises. In my experience sellers are cautious about with whom they share their financial records and at what point in the process this will take place. To begin allaying the Seller's trepidation and before reviewing any documen

Size Matters

When it comes to selling a business, size does matter. The data shows that there is a direct correlation between the total sales of a small business and the price it can command when it is sold. The chart below shows the trend of the average transaction price for companies, expressed as a multiple of Seller Discretionary Income (SDE). The chart depicts that larger companies consistently outperform

How Attractive is Your Business to Potential Buyers?

The sale of your "built from scratch" business is something many business owners consider from time to time. Whether you are very serious about the sale of your business or still unsure, it can be useful to review key aspects that attract buyers when considering a business acquisition. Businesses, even small ones, are inherently diverse animals. This translates to a wide spectrum of key items to

How Long Does it Take to Sell a Business?

There are many factors that play into the length of time a business stays on the market between its official listing date to the moment of its contract close. Timing, especially, plays a big role in this area. It is important to put in solid preparation efforts prior to listing a business for sale otherwise it may needlessly sit on the market for longer than anticipated. Making sure the business i

To Sell or Not to Sell: Is 2017 the Right Year For You?

As we ring in 2017 now is as good a time as any to begin a personal and professional evaluation of your business. Here I will share a few questions you can ask yourself to begin the discussion. Are you ready to sell your business? Do you still enjoy working the day-to-day or has the routine become monotonous or worse - stressful? Are you ready to move on to a different industry, career path or ma

Common Questions: The Prospective Seller's Edition

When meeting with prospective clients looking to sell their businesses, there are a handful of questions we are frequently asked. Because we hear them so often, I thought addressing them here with our readers would be useful! Please keep in mind though the following question and answers may not be all inclusive, they will provide an adequate starting point for those considering the sale of their b

Planning For a Business Sale: When is the Right Time?

The simple answer to this question is from day one. Most business advisors will recommend you start with an endgame in mind, whether it is 5, 10 or 30 years down the road. Even if you, as the business owner, think the plan may change, it is best to plan from the start and keep in mind that you may need to re-evaluate your plans every few years. For discussion purposes let us use 10 years as our t

The Art, Relevance and Importance of Matching Suitable Buyers and Sellers

Interviewing buyers is an important step in helping to better understand the motivation, goals and objectives of the buyer and to help screen some business options for them to consider. This process includes the discussion of many of the following important issues: Delving into the buyer's previous industry and career background. Types of businesses and industries that interest the buyer

What Are Buyers Looking For in a Business?

It is not outside the realm of possibility that a buyer approaches Transworld having access to cash and an interest in buying a business, but without a particular business in mind. This type of buyer is typically someone who has previously owned a business and were successful in developing the business and they want to replicate this process with a new venture. There are also buyers who are lookin

Seller Financing: The Key to Getting Smaller Deals Done

Question: How am I going to make your life easier? Answer: Seller Financing! This exchange was repeated many times during my first broker training class at the Transworld headquarters. Our instructor, a veteran business broker with over 30 years of experience, kept repeating these statements - drilling them into our head. But alas it worked, because I still remember it clearly years later.&nb

The Importance of Free Cash Flow

To discuss the importance of Free Cash Flow, within a business, I would first like to set the scene using the story of Joe Smith, CEO of Good Investments as an example. Joe Smith just received some financial statements from his Secretary showing 5 million dollars in revenue for the quarter. Upon the first review of these statements, he is feeling pretty good about the success of his company! Now

Preparing for a Successful Transition

When a business owner considers selling their business, it is likely due to one of the following reasons. Some may be tired and frustrated with the day-to-day operations of their business. Some have a desire for more free time to spend with family or manage their life obligations. Others are struggling with their finances and feel like they are in over their head. Some wish to move into reti

RE: Business Owners - Don't Stop Doing What You Do Best

You have worked tirelessly to grow your business. You have helped your business grow from a one person, owner/operator operation to a nice sized, 10-employee company. Now you have reached a point where you feel it is time to move on. It is the prime time to sell your business; it is successful and enjoys a solid customer following. So you decide to meet with a local business broker and begin the

How to Select an Attorney to Represent the Sale of Your Business

So you have decided to sell your business and have already signed with an accomplished broker, what should your next step be? Selecting an attorney to represent the sale of your business will give you the upper hand during the deal making process. Selling your business can be complicated, add to this the stress of preparing for the transaction, your emotional investment in the business, as well a

The Baby Boomer Seller Tsunami: Why 2016 is the Year to Sell

Preface Baby Boomers was the namesake given to the large generation of babies born following World War II, between the years of 1946 and 1964. In 2016 this generation is made up of people between the ages of 52 and 70. As the Baby Boomer population grew into adulthood they became known for their wealth, social activity and physical fitness especially when compared to past generations. This was a g

#3 Buying and Selling a Business in Colorado: Collection of Information

Now that you have built your advisory team we can move onto the collection of information. This may seem like a daunting task, but it is well worth the effort since all of the information will be put to use to work for you in selling your business. Once engaged, your business broker will begin to collect information in order to develop the pitch book, marketing plan, and market price opinion

A Look at Due Diligence

Due diligence is a very interesting step in the process of selling and buying a business that follows the acceptance of an offer. At Transworld, our offers are always non-binding during the due diligence period. This means that the buyer or seller can walk away from the deal at any time for any reason. Following the due diligence period comes the signing of the Asset Purchase Agreement (APA) which

The Five Cs: The Real Benefits of Using a Business Broker

Selling a business can be a time-consuming and often frustrating process. Many business owners have thought about or have even tried selling their business but to no avail. They recognizetheir need for help but are unsure of where to seek said help to support the process of selling their business. There are innumerable tales of the business owner who sold their business for far less than they shou

A Guide to Seller Financing

What is Seller Financing? Financing is a difficult topic to address and one that comes up frequently in the brokerage business. The sheer number of options and varying business conditions makes each financing situation unique. At Transworld, we specialize in walking buyers through the different financing options and finding the optimal one for their specific situation. Some of these options a

You Wouldn't Hire a Car Salesman to Sell Your Business

In rural markets, it might make sense for the person that would sell your home to also sell your business, because there simply is not another option. But living and working in Denver, if a person says that they can sell both your home and your business, I would run, not walk, to the mountains! There really should be no overlap between the services provided by a real estate agent or commercial bro

Preparing for Exit: Write Your Own Story And Ending

Launching a business is like writing a story, with the owner as the author and the opportunity to define and shape how their business develops and grows a "choose your own adventure." This story includes how the owner will eventually transition from the business, essentially writing their own ending. Ideally, the business owner has substantial control over how and when their business fulfills its

Keep Calm and Carry On

It is time to sell your business. Your first move is hiring a broker. What's next? "Keep calm and carry on!" That is to say, you should stay the course - continue operating business as usual. This may seem counterintuitive, because you're selling your business, and that is a big step, but this is actually great advice. Currently, your business is doing well, your customers are happy and

#2 Buying and Selling a Business in Colorado: Building Your Team

Welcome back for part two of our Buying and Selling a Business in Colorado series. Now that you are prepared to sell your business we can move on to building your team. This step of the process while not as involved as many of the other steps is one of, if not the most important step of the process. Continue reading to find out why! Assembling your team of advisors will poise you and your bu

7 Reasons to Choose Transworld for the Sale of Your Business

Price Option: We analyze the market and perform a Price Option of what your business can likely sell for within the current market. We use reputable proprietary data sites to focus on a specific industry and current conditions to provide an optimal asking price. Market Reach: We market your business to over 300 different websites across the country. Our marketing efforts go far beyond

5 Value Factors for Your Financial Services Firm

When it comes to selling a business within the financial services sector, the evaluation and process of selling that business are treated differently than other industries. Depending on your firm's specialization, the value could be determined by gross revenue, EBITDA, accounts under management and/or many other factors. Here we have compiled five important, factors that will concern savvy b

Is 2017 the Year to Sell?

All signs are pointing towards yes! As the reports containing 2016's numbers are becoming public it is obvious the business sales market is in a stable place and trending upward. Our first indicator up for discussion is the U.S. market's average sale-to-asking price ratio, which is at 92%. What this means is that the market has reached a place of balance, where the fair market value of a

6 Things That Affect the Value of Your Wholesale Business

The wholesale business is one that legendary coach Vince Lombardi would have loved. It's all about the basics - blocking and tackling. And those companies that are best at the basics tend to perform the best over time. Wholesale businesses are appealing to buyers because it is the quintessential "middleman" business. Wholesalers don't make the product and they don't deliver it to t

What Are Buyers Looking For in a Business?

What Are Buyers Looking For in a Business? It is not outside the realm of possibility that a buyer approaches Transworld having access to cash and an interest in buying a business, but without a particular business in mind. This type of buyer is typically someone who has previously owned a business and were successful in developing the business and want to replicate this process with a new venture

#1 Buying and Selling a Business in Colorado: Preparation

In the coming post, Transworld will be addressing the first step of the Transworld buying and selling process as part of a twelve part series breaking down our entire process piece by piece. In this series, each post will take on one step of the process and detail it clearly so our readers can best understand our service offerings. During this series, we invite you to refer back to some of our pre

How Much is My Business Worth?

Moving towards selling a business is a true undertaking, one that brings up a lot of questions. But the one big question is, "How much is my business worth?" This question can be difficult to answer, especially if you are unfamiliar with the business sale process. The truth is that there isn?t necessarily one way to place a value on your company. There are many factors that play into the final nu