Current Acquisitions Focus on Top Line Revenue Growth

Two recently published news reports are reflective of trends we have seen in the market, both of which highlight the focus on top line revenue growth and reduced hiring. First, a recent survey of business owners by the Wall Street Journal found that half of small business owners expect that the cou... [read more]

Learn Why NOW Could Be the Best Time to Sell

While many small business owners are biding their time waiting for the economy to spring back before selling, prime opportunities may be slipping away. At the kick off of a five-seminar fall series beginning on September 19th PEGG (Professional Economic Growth Group) Small Business Symposium – we... [read more]

Slow But Continued Growth

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 an... [read more]

Justifying a Sale Price

In a recent banking and finance article in NJ Biz, we underscored the changing attitudes of business owners toward more realistic values for their businesses. “I think everybody recognizes that the market is not going to go back to the crazy days of 2007,” said Achim Neumann, President, A Neuma... [read more]

2012 Seminars & Talks: What Is Your Business Worth?

One of the most challenging tasks business owners face is defining the Fair Market Value of their business. Again and again, questions regarding the various methods used to determine a fair asking price are raised. And, for good reason.  Defining this number is no easy task— there are many varia... [read more]

Predictions for 2012— What Now?

As a recent Wall Street Journal article noted, there had been as many incorrect projections for 2011 as there had been correct ones. Thus, we will not even venture to attempt a prediction for 2012, short of noting that the three key challenges transferred from 2011 into the new year are the same: a... [read more]

Where is “the beef?”

Borrowing from a recently revamped Wendy’s advertising campaign, the question “where is the beef” is often translated by business owners into “how will the buyer finance the transaction?” “In times when financial resources are more limited, a financial structure becomes paramount in fac... [read more]

How Do You Measure Goodwill?

We are often asked by clients how we assess Goodwill.  “It must be the most frequently raised issue in the valuating process,” says Achim Neumann, President of A Neumann & Associates, New Jersey, “and indeed from an owner’s perspective, several issues come into play, such as customer a... [read more]

Small Business Climate Change?

Traditionally, the summer months of July and August have been slow in the business brokerage industry. Buyers and sellers do not have their minds set on transferring businesses during the dog days of summer. “This year, however, has been quite different,” says Achim Neumann, President of A Neum... [read more]

The Three Popular “Myths” Of Selling (Or Buying) A Business?

Over the past ten years our firm has been involved in many discussions with business owners considering the sale of their businesses. There are a few particular myths that have repeatedly surfaced during these discussions. “A typical business owner will sell a business only once in his or her lif... [read more]

Recession Offers Small Business Opportunities in Second Quarter

For the second quarter of 2011 it looks like Main Street and Wall Street will present two very different pictures. While large publicly traded companies are expected to report strong profits, small businesses across the country are still dealing with tight credit, nervous customers and increased co... [read more]

Rules of Thumb to Value a Business

Quite often, we are asked during presentations which ‘multiple’ is the right one with which to assess the value of a business. Without doubt, most business owners then volunteer that the EBITDA multiple (Earnings Before Interest, Tax, Depreciation, Amortization) is the best single criteria.  H... [read more]

New Small-Business Tax Proposal

On Monday, the White House announced several  small-business initiatives, including an extension of the permanent capital-gains tax relief for small company investors. The White House will also announce the creation of a new, private organization called Startup America, aimed at getting private co... [read more]

Confidentiality Agreements: Their Importance To Business Buyers And Sellers

If you are planning to buy a business in the near future, or sell one for that matter, then you are probably thinking about the price you may have to pay, scheduling business appraisers, collating legal documents, putting in an offer and so on. The list of things to do is indeed long. However, one ... [read more]

SBA Revises Good Will Caps

Effective with loan applications on or after October 1, 2009, the Small Business Administration revokes its position that acquisition financing is limited to buy-sells involving goodwill amounts up to $250,000. NO GOODWILL CAP EFFECTIVE OCTOBER 1, 2009 Specifically, the SBA changed the rules for fi... [read more]

Distressed Takeovers Soar

The brutal recession is opening up the landscape to vulture investors as never before. New data show that distressed-debt deals — in which creditors use their debt positions to seize ownership of troubled companies — are running close to double the pace of 2008. Some 140 of the deals have been s... [read more]