No Longer Available
| Asking Price: |
$899,000 |
| Annual Sales: |
$1,334,000 |
| Cash Flow: |
$243,400 |
| Inventory: | $30,000* |
| FF&E & Leaseholds: | $200,000* |
| Real Estate: | N/A |
| Employees: | 15-20 FT/PT |
| Location: | Avon, CO |
| *Included |
SOLD!
| Asking Price: |
$775,000 |
| Annual Sales: |
$954,856 |
| Cash Flow: |
$275,350 |
| Inventory: | $10,000* |
| FF&E: | $25,000* |
| Real Estate: | N/A |
| Employees: | 1 FT Owner 3 FT, 1 PT 8 Independent Contractors |
| Location: | Western United States |
| *Included | |
Many business owners and their accountants are absolutely fixated on minimizing taxes by showing no income. But this can be misguided planning for trying to get top dollar when selling the company.
Business owners need to realize that valuation is usually determined by a multiple of profits, or identifiable cash flow, and that banks make acquisition loans based on tax return results.
Reducing taxes can be a good short term strategy, but it might not pay off at the end!
Business owners can operate their company as they wish, but when they are ready to sell, will it appeal to buyers?
If the numbers don’t make sense or show profits, who would want to buy it?
Business owners who want top dollar for their company must be able to reveal all elements of owner cash flow that buyers and lenders will accept. Otherwise, there will be only disappointing offers or no offers at all!
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The statement “with a little sales and marketing, a new owner could make a fortune with my business” has been heard over and over by prospective buyers.
The question of course is: “Mr. Business Owner, why haven’t you made that effort?” Buyers are not willing to pay the business owner for their future efforts and investment necessary to grow the business.
Business owners must take those steps themselves, which not only will increase their revenues and profits in the short term, but will greatly improve the value of […]