Archive for the ‘JoAnn Lombardi Pres. VR Business Brokers’ Category
JoAnn Lombardi – The Right Strategy for the Business You Buy
Determining the Right Strategy for Your Business that You Buy
By JoAnn Lombardi, President VR Business Brokers
In order to determine the strategy that will work effectively after buying your business, there are five essential questions that will help you determine if you will able to implement and push you to prosperity and solidify customer loyalty.
What Type of Business Do You Run?
What Other Businesses Do You Have?
What Are Your Core Competencies?
What Are Your Core Values?
Are Your Short-Term Goals and Long-Term Strategies Aligned?
Read the full article at Determining the Right Strategy for Your Business that You Buy
One of our business experts can also help you with all aspects of Buying a Business.
Contact VR at 1.800.377.8722 for more information.
JoAnn Lombardi – Deciding to Position Your Business for Sale
Deciding to Position Your Business for Sale
By JoAnn Lombardi, Pres. VR Business Brokers
When a business owner decides that the time is right to sell the business, regardless of the reason (burnout, retirement, new aspirations), it is imperative to do so the right way so the optimal sales price can be obtained.
As a business owner, it is easy to have concerns when contemplating whether to sell your business; especially when you start to see that the process of selling your business doesn’t give that flexibility that you need to make the best deal.
It’s important to start planning early on toward the time when you decide to sell your business.
You want to look at building long-term value, not only making a profit in the short term.
Read full article here Deciding to Position Your Business for Sale
Contact VR at 1.800.377.8722 for assistance toward planning to sell your business.
JoAnn Lombardi – Evaluating the Buyer for Your Business
Seller Beware – Due Diligence Critical When Evaluating the Buyer for Your Business
By JoAnn Lombardi, Pres. VR Business Brokers
Normally when the buying or selling of a business takes place, the buyer only performs due diligence. However, smart sellers know that it’s a two-way street.
KNOWING THE RISKS
The seller has a lot to risk. Of course, if you sell your business for 100% cash, you risk very little. However, this is a rare scenario.
In performing due diligence, the seller should employ the same checklists as the buyer and ask equivalent questions, including areas of:
Finances
Strategy
Products/Services
Management
You want to make sure that your business is in capable hands. You want a buyer that will help grow your business.
Read full article here Seller Beware – Due Diligence Critical When Evaluating the Buyer for Your Business
JoAnn Lombardi – Restriction Clauses When Selling A Business
When to Apply Restrictions and Prohibitions in the Business Deal
By JoAnn Lombardi, President VR Business Brokers
It’s important for both Buyer and Seller to protect themselves by including the proper terms and conditions in the Business Sale Agreement.
The fact is the buyer is going to have concerns about the seller possibly taking away the goodwill that they’ve created.
The seller will want to know what activities that they will be able to engage in without the threat of legal action.
There are also important factors to understand and cover in the agreement such as “Competition” versus “Solicitation”
Other important points include Express Provisions in the Sales Contract and Course of Action.
Read the full article here When to Apply Restrictions and Prohibitions in the Business Deal
JoAnn Lombardi – Preparing Your Business for a Buyer’s Visit
Preparing Your Business for a Buyer’s Visit
By JoAnn Lombardi, Pres. VR Business Brokers
A buyer’s visit has to be taken very seriously for a number of reasons if you want to move closer to a deal to sell your business.
A visit from a buyer is an opportunity for him or her to meet not only with you but with your management team as well as tour the company’s offices and other facilities.
The buyer will ask you specific and in depth questions about your business to determine what are the benefits and risks.
On the other end, you should be asking questions to make sure that the buyer has the financing to even proceed with the purchase.
Be sure to assemble current financial statements and other essential documents that will be helpful.
And last but not least, keep your business visually appealing to make a good impression.
Read full article here Preparing Your Business for a Buyer’s Visit
Contact VR at 1.800.377.8722 for full assistance in preparing your business for all aspects of a successful sales transaction.
JoAnn Lombardi – Calculating the Working Capital for a Business
Calculating the Working Capital that You Have Available
By JoAnn Lombardi, Pres. VR Business Brokers
The formula for working capital can be expressed as:
Current Assets - Current liabilities = Working Capital
Current assets - What can be converted to cash within one year or a normal operating cycle.
Current liabilities - Monies owed that are due within one year.
Example:
-
If a company’s current assets total $300,000, and
- Its current total liabilities are $160,000;
Then its working capital is:
$300,000 – $160,000 = $140,000
Calculating the Working Capital for a Business
There are additional aspects to determining cash flow and other financial aspects of a business.
Contact VR Business Brokers at 1.800.377.8722 for more assistance in establishing the proper value for a business for sale or purchase.
JoAnn Lombardi – Preparing an Offer For Buying A Business
Preparing an Offer as a Business Buyer
By JoAnn Lombardi, President VR Business Brokers
Attention to detail is important with every aspect of the business that is for sale.
As a buyer, you will have to perform your due diligence before an agreement is drafted and signed by you and the seller.
Some of the key aspects to consider are:
- Outlining all the positives and negatives to the deal;
- Resolving the challenges that are preventing negotiations from moving forward;
- Find the middle ground where both you and the seller can come to terms;
- Present and have signed the purchase agreement.
Read full article here Preparing an Offer as a Business Buyer
In buying a business, our skilled VR Business Intermediaries can help toward finding a business that matches your qualifications and interests, as well as informing you on what the Seller expects from you as a Buyer.
You can contact our VR Headquarters at 1.800.377.8722
For information about owning a VR Franchise you can view VR Franchise Presentation Videos & PDF.