Category: How to price a business

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September 7, 2023

The Importance of Communication During Due Diligence

By Claus Erik Skudstrup Madsen

Mergers and acquisitions (M&A) are complex transactions that require careful planning, analysis, and execution. Due diligence is a critical part of the M&A process, as it involves an in-depth examination of the target company’s financial, legal, operational, and other relevant information. Effective communication between the acquiring company and the target company is essential during the…

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December 7, 2019

Unsolicited Offer – What to Do Now

By Jeremy Albelda

It is not unusual for a business owner to receive an unsolicited offer for their business – as a matter of fact, it happens quite frequently. But what should the owner do next? “You probably have said something like, ‘for the right price, I might consider selling’,” says Achim Neumann, President of A Neumann &…

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March 13, 2017

What Makes Business Buyers Walk – Out?

By Jeremy Albelda

(Excerpt of the forthcoming book ‘The Road Beyond’) Recently, many buyers with strong résumés in the corporate environment have come into the business-buying market. These buyers often have significant IRA or 401k accounts that can be dissolved tax free under current IRS rules, with the funds being used for buying a business. This has greatly…

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April 11, 2016

Close The Company – Not The Best Retirement Solution

By Joseph Eneldas

“Recently, I had the opportunity to work with a small business owner who was worried if his business was worth selling”, says Glen Michalske, Managing Director, North Carolina, A Neumann & Associates LLC, a New Jersey based Mergers & Acquisitions and Business Brokerage firm. “He was thinking of just letting the years of hard work…

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September 7, 2015

Asking Price Premiums with a Business Broker

By Joseph Eneldas

Two months ago, I talked about how our biggest competitor in business transitions turns out to be the owner’s kids.  Last month, I let everybody know that our second-biggest competitor is “nobody.”  Many small business owners are determined to sell a businesses on their own in order to avoid paying a commission.  We looked at…

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April 7, 2015

They Are All Big Deals – Tips for A Successful Business Acquisition

By Joseph Eneldas

If you are purchasing an existing business to add into your own, you are taking a step that involves a lot of terrific potential but also a lot of risk.  In truth, a considerable portion of company mergers fail. But there is a lot to you can do to tilt those odds more in your…

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November 10, 2012

Making the Most of Uncertain Times

By Joseph Eneldas

The election is over, but most business owners agree that the economic uncertainty they had hoped would vanish is still with us and will remain so for the foreseeable future.  So what are the implications for an owner who is interested in selling his or her business and retiring during the next 12 to 24…

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August 1, 2012

Slow But Continued Growth

By Joseph Eneldas

The summer months have always been somewhat slow in the business brokerage industry. Buyers and sellers prefer the “cool” environment of the beach and parks over the “hot“ transfer of businesses. “We  have had a significant number of business valuations performed in the second quarter and the beginning of the third quarter, preparing those businesses…

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May 7, 2012

How Much Risk Is Too Much?

By Joseph Eneldas

In any business transfer, there is risk involved for both buyers and sellers. Unfortunately the risk cannot be completely avoided, and so, we wanted to take a closer look at the respective risk components involved on both sides. “We try to minimize the transaction risks as much as we can,” says Achim Neumann, President of…