Request a Strategy Call and we will get in touch with you
Small Business Acquisition Financing: What Lenders Want
October 19, 2011 / in Exit Planning, Sell a Business / by Al Statz
In ten years of selling private businesses, financial leverage has consistently been one of the key success factors in expanding the pool of buyers and closing deals. Fortunately for business owners, the SBA loan guaranty program is an excellent funding source for deals up to $5MM. And, lenders are lending now. A lender analyzes both the buyer (borrower) and the business being purchased. Here are 10 things lenders look for when evaluating a loan request …
October 27th “Maximize the Value of Your Business” Seminar Announced
October 4, 2011 / in Exit Planning, News, Sell a Business / by Al Statz
Exit Strategies announces the next in its series of executive briefings for business owners. At this candid, fast-paced workshop, business owners will learn … Valuation basics & 20 ways to build enterprise value Preparing a successful exit strategy Market conditions and trends Tax advantages of selling in the next 15 months Steps in a successful M&A sale process Answers to common questions When: Thursday, October 27th, 5:00 to 7:30 pm Where: Petaluma, California Cost: Free of charge …
Valuations for SBA Business Acquisition Loans
September 10, 2011 / in Business Valuation / by Al Statz
Determining the value of a business is a key aspect of an SBA lender’s underwriting process for loan applications involving a business acquisition (change of ownership). According to SBA Standard Oprating Procedure 50-10-5(c), paragragh (i), page 179, for all business acquisition loans over $350,000, or whenever a buyer and seller have a close relationship, the lender must obtain an independent business valuation from a qualified source. Examples of “close relationships” include transactions between: Employer-Employee; Family members; Co-Owners; and …
Exit Strategies Joins National Business Valuation Group
July 26, 2011 / in Business Valuation, News / by Al Statz
Exit Strategies has joined forces with National Business Valuation Group, LLC, a consortium of independent business valuation and litigation support firms that have affiliated in order to provide clients with highest quality professional expertise. The relationship between offices allows each firm to provide its clients with technical, database, industry, geographic and consulting expertise that would not be available from typical business valuation firms. Offices regularly communicate with each other regarding specific cases and valuation issues …
Should we use a business sale escrow? What does an escrow holder do?
June 1, 2011 / in Acquire a Business / by Al Statz
A client recently asked me these questions, and I thought the answers would make a good blog post … A business sale/purchase escrow holder protects the interests of buyers and sellers of small businesses by acting as a neutral independent fiduciary, communications link and closing facilitator. Escrows are used extensively by business transaction attorneys and intermediaries throughout California since regulatory compliance, routine closing documents and administrative details are handled in an efficient, cost-effective manner. Business …
See You on the Other Side
April 27, 2011 / in Acquire a Business, News, Sell a Business / by Al Statz
Is a smooth transition possible when acquiring a business? I was was recently interviewed on this subject for the May 2011 issue of Entrepreneur Magazine … Q: I’ve started talks with a company’s owner to acquire her business. How do I make sure my first days as the new owner go … well, is smoothly asking too much? A: Ah, the first-time buyer. After talks get going, there’s always that day when you wake up and …
Sonoma County Backroad Challenge Century Ride * May 21, 2011
February 26, 2011 / in News / by Al Statz
The Petaluma Sunrise Rotary Foundation will host its annual Sonoma County Backroad Challenge cycling event on May 21, 2011. We invite you to ride and we invite your company or club to field a team of riders. 100 Km and 50 Km rides start and end at Lagunitas Brewery where there will be a post-ride meal, cold beer, live music, fun and fellowship until 5pm. We hope you’ll join us, have a great time, and make …
Does Size Matter in Business Valuation?
January 10, 2011 / in Business Valuation / by Al Statz
As a business broker I hear lots of interesting comments and questions about the value of businesses. Recently a business owner said to me, “Peet’s Coffee, (Nasdaq:PEET) trades for 20 times earnings, so should I be able to sell my Mike’s Coffee Company for that?” It’s a great question. Besides brand recognition and the liquidity of public vs. private company shares, size is the obvious difference between Peet’s and Mike’s. So how much does the …
Famed Investor: References to EBITDA make us shudder …
November 21, 2010 / in Business Strategy, Exit Planning, Sell a Business / by Al Statz
… does management think the tooth fairy pays for capital expenditures? Article Published December 6, 2010 — North Bay Business Journal This title is a quote from Warren Buffett’s letter to shareholders in Berkshire Hathaway’s 2000 annual report. EBITDA (earnings before interest, taxes, depreciation and amortization) is a good financial metric to use in analyzing, comparing and valuing companies, but, as business owners and investors, we need to understand its limitations. EBITDA is one of several …
Five Phases of the Business Sale Process
September 21, 2010 / in Exit Planning, Sell a Business / by Al Statz
Article originally published on August 21, 2010 — North Bay Business Journal Remember the story about the chicken and pig that walk past a diner advertising “bacon and eggs” for breakfast? The chicken enthusiastically endorses the menu. The pig replies, “For you it’s all in a day’s work. For me it’s total commitment!” Most company owners already understand that selling a business on their terms requires commitment to a cohesive process. Others try and fail …
Exit Strategies Group, Inc. is a leading provider of business sales and acquisitions, business valuations, and exit planning services for family owned and closely-held companies since 2002.
DRE #01878920
Member of
