The unfortunate truth is that approximately 50% of all small business sales transactions fall through. While failed transactions can happen for a variety of reasons, Peter Siegel, MBA (BizBen Founder & Lead Advisor) discusses the most common reason deals fall through; unrealistic asking prices.
A business buyer in our ProBuy Program searching to buy a business asked me to sum up what I though the biggest mistakes business buyers make when they search for and bought a small business. I asked ProIntermediaries on BizBen their thoughts on the matter and received a diverse response.
Selling a small to mid-sized business in can be a difficult process for owners and intermediaries. Statistics show that over 70% of all owner / sellers never end up selling their small to mid-sized business. That is why we initiated the BizBen ProSell Program for business owners & intermediaries.
Coin operated laundry for sale (also referred to as a laundromat), which typically can yield a 20% to 30% profit (before taxes, interest, depreciation and amortization) on gross revenues to the owner. Peter Siegel, MBA with BizBen.com discusses this topic on buying small to mid-sized laundromats.
Throughout the recession, it was very difficult to get approved for business purchase financing. If you are considering incorporating some alternative funding sources in your next small business acquisition, here is what you need to know to protect yourself and your investment.
There are companies who specialize in purchasing Business Notes (of course at a discount). You can sell all or part of your note. Peter Siegel, MBA BizBen Founder and ProBuy & ProSell Lead discusses this entire process in his latest article on selling your business note after you sell your business.
A question sellers ask: how do I sell my business without getting sued, isn't a subject just for discussions with lawyers. A seller can take some precautions to reduce potential legal problems. Peter Siegel, MBA Founder Of BizBen and BizBen.com's ProBuy and ProSell Programs discusses this topic.
Owners should keep the fact that they want to sell their small business confidential. Before releasing information to prospective buyers, buyers should commit to confidentiality in writing & should understand why it is important. Peter Siegel, MBA a ProBuy and ProSell Advisor with BizBen explains.
Before you buy a dry cleaners small business, read these critical tips about this industry. Discover why a dry cleaner needs to be "green" to be profitable. Peter Siegel, MBA (BizBen ProBuy, ProSell Program Advisor) explores this topic and other helpful strategies on buying a dry cleaning store.
Most people who think they want to buy a gas station don't realize that finding the right business to own in this industry and determining its fair price pose more complex problems than buying a fast food franchise, retail store or most types of businesses. There are many variables to consider.
Since most people who want to acquire a business for sale spend their time and energy responding to ads, it's no wonder that a majority never find a company they want to buy. Meanwhile, proactive buyers "push" their requirements and qualifications to purchase, and attract owners ready to sell.
Some California entrepreneurs think they might like to buy a vending business but have heard negative things about the industry and aren't aware of important facts about this business. Here are some tips from BizBen's Peter Siegel on what to look for in buying a California vending business for sale.
The idea to buy a business with seller financing is clearly understood by most people whose career move is to purchase their own company. But not everyone knows how to structure a deal with the seller carrying back part of the price. Be prepared for three situations when negotiating your purchase.
Buying a food truck is an option to consider if you want to get into the food service business. With food trucks growing in popularity, they are quickly becoming a viable alternative to buying a traditional brick and mortar restaurant and using it as a vehicle to get your food out to the masses.
In this month's Business Buyer survey for BizBen.com, we asked participants in our ProBuy Program and 250 other random business buyers what they look for and avoid when looking at a business for sale postings online. Of the 20 potential posting characteristics we asked about, 8 stood out.
First the dreaded statistic: 80% of all business buyers looking to buy a small business never end up doing so! Peter Siegel, MBA BizBen.com Founder & ProBuy Director) covers successful tactics & strategies all business buyers of small to mid-sized businesses should utilize now to buy a business.
There are many myths associated with the process of selling a small business and some of them can actually cause deals to fall through. Don't let your sale be compromised, be aware of these common misconceptions related to the process of selling. Peter Siegel, MBA with BizBen explores this topic.
The idea to have a buying a business checklist follows the adage that it's always useful to start with a plan when searching to buy a small business for sale. Peter Siegel, MBA Founder of BizBen.com and top advisor of the BizBen ProBuy Program suggests six items for all business buyers to utilize.
The key to finding the ideal business broker or agent and selling a small business is asking the right questions and getting the right answers back! Peter Siegel, MBA with BizBen & several top business brokers and agents in California (ProIntermediaries) contribute to this topic to assist sellers.
Don't confuse a business opportunity with a going business for sale. In the broadest sense, an existing business being offered on the market is sometimes called a business opportunity. But for a buyer's purposes, seeking to invest in a business to own and operate, there are important differences.
Peter Siegel, MBA - BizBen.com & SBALoanAdvisors.com Founder discusses the difference between a hands on owner and an absentee owner. It covers why someone would want to be an absentee owner and then goes on to discuss the pros and cons of buying an absentee run small to mid-sized business.
Peter Siegel, MBA - Lead Advisor with the BizBen.com ProSell Program discusses critical steps to prepare a small to mid-sized business including: which documents will be needed, key advisors to have involved, pricing the business, and how to attract the right business buyers to your listing.
Peter Siegel, MBA discusses buyers who want to buy a business or franchise know about asking the seller to provide part of the financing with a carry-back note. Many business buyers need some cash to help fund the down payment and for working capital. Here are four ideas about how to get that money.
A business buyer in the BizBen ProBuy Program asks how to handle the inventory amount in the purchase price of a business. Other questions answered in this article: Do you add the inventory value to the business value? Should the owner be expected to take back a note for the value of the inventory?
Recognizing that 70% of the California small and mid-market-sized businesses offered to buyers are never sold, and that some of the obvious reasons - over-pricing, inadequate records, insufficient lease - have been discussed in detail, it might be useful to point out lesser known problems.
Peter Siegel, MBA - BizBen Founder & Director of the ProBuy/ProSell Programs explores why earnest money deposits when opening escrow (and bulk sale) serve several important purposes when buying or selling a small business in California. For Buyers not offering a realistic deposit may be a problem.
Successful sellers of small businesses need a game plan to sell their California small business for maximum price and for the best terms. Peter Siegel, MBA discusses these seller strategies with BizBen Blog readers based on his experience as the lead Advisor with the ProSell Program on BizBen.com.
Depending on the type of business being sold, a month-to-month situation can be severely detrimental to the value of the business. Peter Siegel, MBA Founder of BizBen (and Lead Facilitator at BizBen) explores the issue of month to month leases in this blog/article.