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Added for You - Cashing In Your Business?
How long will your office space be filled with noise, dust, confusion and distractions? No matter how long it is too long.You can escape all the remodeling hassles by renting commercial office space for a week, month or however long you need it. And often the expense is more than justified by keeping your business productivity high.Commercial office space doesn’t refer to retail facilities. It is a concept originally developed to answer the need for temporary office space. It makes moving from a remodeling war zone simple and easy. Here are just a few of the reasons why commercial office space is a convenient way
Typical “Sell The Business Scenario”
Here's why. Take the case of an owner we'll call Jack Stokes. Jack had his tire business for almost 30 years. He and his wife are in their 60's and both are in good health. They have two sons and a daughter that are grown and gone. The daughter teaches, the older son is an attorney in a nearby town and the younger son is finishing up
Affairs between coworkers are not something new. For the most part the common reaction among the onlookers is one of surprise. Sometimes it is also one of criticism or condemnation. Occasionally it also provokes jealousy, as was the recent unprecedented case among the astronauts. Looked at from a broader perspective, affairs at work bear much in common with affairs at church. But it should come as no surprise that married people fall in love with coworkers at work and at church.Consider: it is an accepted truism among behavioral researchers that as people we are capable of falling love any number of times during our lifetime, whether
Its almost 9 PM and you've got just one more order to fill because you promised “Henry” you'd have his order ready for pick up first thing tomorrow, Henry's an old customer, a good friend and has a machine down and the part we stock will have him up and going again. But the nagging thought comes back again . . . . “after 27 years I don't need this anymore, I'm gonna sell it!”
There are many different reasons why businesses are sold. But of all the reasons, the three most popular are retirement, burn out and major illness.
When you own a business and have fought the battle over the years, the time does come when you're ready to cash in the business and turn it over to someone else. You've built your dream, watched it grow and it has taken good care of you. Finally you've talked to your family, your CPA and your attorney and decide to do it. You place your business on the market! About a year and a half later, after negotiating with two individual buyers and two corporations, you do the deal with “Pete,” the nice guy from Cincinnati. Pete seems to be a good person, has a nice family and the proper background for the business. You've structured the deal with a good down payment and have agreed to finance the balance with interest over a seven year period. Sweet deal, right? Well, maybe.
After working with hundreds of business owners over twenty plus years and hearing all their stories, one precaution comes shining through the excitement of a sale! If owner financing is going to be a part of the deal . . . be very careful! It might come back to sting you. Especially if you plan to retire after the sale.
Typical “Sell The Business Scenario”
Here's why. Take the case of an owner we'll call Jack Stokes. Jack had his tire business for almost 30 years. He and his wife are in their 60's and both are in good health. They have two sons and a daughter that are grown and gone. The daughter teaches, the older son is an attorney in a nearby town and the younger son is finishing up
It’s been interesting to watch the (sometimes forced) assimilation of Generation Y into the Boomer-dominated workforce of the early 21st century. Surely no two generations working together have been so disparate…at least that’s what we’re led to believe, and to an extent it’s true. There are vast differences in the two generations’ values and beliefs.But I would suggest the computer is one element that brings the two together and, at another level, clearly defines one important difference in the two groups.First, let’s look at the Baby Boomers. They entered the work force, for the most part, devoid of computer knowledge. T
There are many different reasons why businesses are sold. But of all the reasons, the three most popular are retirement, burn out and major illness.
When you own a business and have fought the battle over the years, the time does come when you're ready to cash in the business and turn it over to someone else. You've built your dream, watched it grow and it has taken good care of you. Finally you've talked to your family, your CPA and your attorney and decide to do it. You place your business on the market! About a year and a half later, after negotiating with two individual buyers and two corporations, you do the deal with “Pete,” the nice guy from Cincinnati. Pete seems to be a good person, has a nice family and the proper background for the business. You've structured the deal with a good down payment and have agreed to finance the balance with interest over a seven year period. Sweet deal, right? Well, maybe.
After working with hundreds of business owners over twenty plus years and hearing all their stories, one precaution comes shining through the excitement of a sale! If owner financing is going to be a part of the deal . . . be very careful! It might come back to sting you. Especially if you plan to retire after the sale.
Typical “Sell The Business Scenario”
Here's why. Take the case of an owner we'll call Jack Stokes. Jack had his tire business for almost 30 years. He and his wife are in their 60's and both are in good health. They have two sons and a daughter that are grown and gone. The daughter teaches, the older son is an attorney in a nearby town and the younger son is finishing up
You may not realize this but your thoughts and thought processes have an impact on how you run your business and its inherent success. The way you think has an effect on your business and thinking positively or negatively may make or break you. How does a person's thought processes affect a business? What is the correlation between the way your mind works and how successful your business is and will be?The way a person's mind works is so intricate that digging deep into it to figure it out may be a pretty tough call, however, there is evidence that proves how positive thinking often brings positive results. This positive thinking equ
After working with hundreds of business owners over twenty plus years and hearing all their stories, one precaution comes shining through the excitement of a sale! If owner financing is going to be a part of the deal . . . be very careful! It might come back to sting you. Especially if you plan to retire after the sale.
Typical “Sell The Business Scenario”
Here's why. Take the case of an owner we'll call Jack Stokes. Jack had his tire business for almost 30 years. He and his wife are in their 60's and both are in good health. They have two sons and a daughter that are grown and gone. The daughter teaches, the older son is an attorney in a nearby town and the younger son is finishing up
Before I start a piece of work with a new client, I always ask them the same question. "Imagine that we are sitting here at the end of the project or programme and it's turned out to been more successful than anybody could ever have imagined. What does that success look like? What is different? What is better?"You may find it strange but an awful lot of them can't answer me. They have no measures of success. They haven't addressed this at all. You've probably heard the saying "If you don't know where you're going, how will you know when you're there?" Many people don't seem to apply this in their day to day business life at all.<
After working with hundreds of business owners over twenty plus years and hearing all their stories, one precaution comes shining through the excitement of a sale! If owner financing is going to be a part of the deal . . . be very careful! It might come back to sting you. Especially if you plan to retire after the sale.
Typical “Sell The Business Scenario”
Here's why. Take the case of an owner we'll call Jack Stokes. Jack had his tire business for almost 30 years. He and his wife are in their 60's and both are in good health. They have two sons and a daughter that are grown and gone. The daughter teaches, the older son is an attorney in a nearby town and the younger son is finishing up
The cost of starting up an enterprise is high; most advisers recommend that you have at least $50,000 capital on hand "just in case" when you begin your own venture. This is meant to be for unknown problems and glitches, not the actual equipment and running costs. You really need that buffer to create a comfort zone to allow your venture to operate until it takes off on its own. But cheer up. If starting an enterprise is costly, you can usually get all the advice you will ever need or want for free.But when this nest egg begins to decrease and your venture just hasn't taken off, how do you remain current on all of the financial o
Typical “Sell The Business Scenario”
Here's why. Take the case of an owner we'll call Jack Stokes. Jack had his tire business for almost 30 years. He and his wife are in their 60's and both are in good health. They have two sons and a daughter that are grown and gone. The daughter teaches, the older son is an attorney in a nearby town and the younger son is finishing up his accounting degree. He wants to be a CPA with his own practice. None of his kids want anything to do with tires or the business. Selling tires isn't easy. The kids grew up in the business and their “big plan” was to go to school, get a degree and go their own way. And so it is. But the business has been good for the Stokes. It paid for their house in town, their condo at the beach . . . and the note on the business real estate was paid off two years ago. So now with the business sold they can settle back, take it easy and enjoy their grandchildren.
A beautiful picture but let's look at reality. Jack's deal with Pete from Cincinnati is based on a 30% down payment and there could be some major problems down the road. Let's see why.
Details Of The Deal
After lengthy negotiating, the final price for the business was $380,000. The price included the building and land, shop and office equipment, all 4 vehicles and the complete inventory. Pete will provide a down payment of $125,000, leaving a balance to be financed (by owner Jack) over seven years at 10% interest. The owner was not looking for an “all cash” deal in view of tax implications. After calculating the finance balance of $255,000, the monthly payment for the new owner comes to $4,233. And that monthly payment doesn't seem that bad since tire sales and shop service have been steady and growing.
How Sellers Get Hurt
But . . . what if something goes amiss, say, 2 _ years into the payback period of the seller's loan? Like an economic or regional downturn, or losing one or more of the business's name brand tire lines, or one or two key shop
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