Do you have a great start up business idea or run an established business which needs a capital injection in order to grow? Well the good news is that there are plenty of options for raising capital or achieving a partial or full sell down of equity. At a high level we have grouped the major funding or exit strategies into several main categories as depicted below. Without discussing each of these strategies individually (which is way beyond the scope of this article) it is i
If you own a Queensland based business and are looking to retire this year or next you need to take immediate action. It probably doesn't come as a surprise to hear that many of your peers are also thinking of exiting / or selling their business over the next few years. Recent research by Xero (accounting software provider) indicates that around 25% of all business owners will attempt to retire this decade. That's more than 100,000 business owners all trying to sell at the s
Want to know what your business is worth? Check out this quarters summary of private deals compiled by Pratts Stats. The free report provides general trend information on valuation multiples and profit margins for transactions so if your thinking about selling your business this year it is a must read! To download the full report click here When valuing a business, selection of the correct multiplier is critical to achieving an accurate well founded and justifiable valuation.
We’ve recently analyzed the latest data from users of The Value Builder System™ and the findings present an interesting snapshot of the current value of privately held businesses. Below are a few highlights although the report itself provides fantastic insight into the attributes of businesses that drive value and those businesses which are receiving the most interest in the current market. Owner optimism bounces back More than three quarters of business owners who completed
Selling a business is complex and there are many issues to consider. Here are just a few of the leading considerations to think about in the lead up to the sale. 1. Is my business ready for sale? (contracts, leases, accounts, staff, systems, debt, etc, etc) 2. What is my business worth today? 3. How will this years trading and forecasts impact value? 4. What is my story / why am I selling? 5. How do I sell the business? (agent vs DIY?) 6. How should I structure the sale? (ass
If you are planning to sell your business or are considering your offer to buy a business, it makes good sense to obtain an independent appraisal of the business first. A business valuation is not a cost - it is an investment. Business valuations provide invaluable insight into the real value of the business and enable buyers and sellers to better position themselves for the transaction and negotiate with confidence - knowledge is power! What is business value? Theoretically,