QUESTIONS WE CAN HELP YOU ANSWER
What is the soundest path to monetizing my business?
Options include: Sell to a third party; build value through acquisition or merger; implement an employee-based buyout; retain control and develop a first-rate management team.
What is my business worth today?
We believe that all business owners should know the current value of their companies. At GBS, we provide “Opinion of Value” reports and assess the business to determine the best path to monetization.
What can my business be worth when I’m ready to sell?
Our team will work with you to clarify your personal and business objectives and prepare an exit strategy. With this approach, the value of your business will be at its peak when you’re ready to sell.
What can I do now to enhance the value of my business?
Growth through acquisition can increase the enterprise value of your company. It can add complimentary capabilities for the business and help you move up the food chain. Three other things to remember here — documentation, documentation, documentation. The more documented evidence that supports the selling price, the higher your price can be. We strongly recommend having your CPA prepare financial statements and cleaning up your current balance sheet.
When is the best time to sell?
When your business is thriving and revenue is growing — that’s the optimum time to sell. Prospective purchasers will have no trouble seeing the immediate value of the company. However, with a sharp game plan, most any business can be sold. Preparing your game plan is one of the most important services we provide.
What types of buyers are out there?
We work closely with a wide range of buyers, including entrepreneurial buyers and strategic buyers. Some purchasers are pursuing acquisitions that provide synergies while others are buying as an investment. In this latter category you’ll find private equity groups and venture capitalists.
How are deals structured?
Most sellers naturally prefer all-cash transactions, but in many cases, the size of the deal determines the structure. GBS will propose options to maximize the purchase price while considering the tax consequences of the sale. We work with the SBA and several third-party lenders to package the business for “pre-approvals” for financing, a benefit that expands the field of potential buyers. Other terms may include seller financing and earn-outs based on the structure.
How long will it take to sell my business?
No magic number here. The size of your company and several other factors may influence the time-line. For example, if your business is priced to sell, and if you’re able to provide all relevant documentation, the transaction usually proceeds more swiftly. Our comprehensive database and marketing capabilities allow us to quickly identify and reach out to the most promising prospects.