For a Buyer Seller Financing can be the only way they can purchase a business in many cases. For example, the business purchase price is $125,000 and the buyer only has $75,000 to put down so where can they borrow the balance? The options include a relative or friend to borrow from (not a frequent event), the SBA Lenders usually have a minimum amount of $150,000, the bank or credit union you deal with is a possibility if you have a good relationship with them and they are able to put a 1st lien on the assets of the company. However, most sales occur 80% of the time with Seller Financing. (Read More)
The short answer is absolutely. Visa buyers are wanting to immigrate to this Country to experience the American Dream. They are coming with money to invest in a business so they can qualify. Do all Visa applicants qualify and the answer is no. They should have a good Immigration Attorney to guide them through the process. (Read More)
Due Diligence is part of the Purchase Agreement for a business that gives the buyer the opportunity to inspect the financials, equipment, fixtures, machinery, etc. The usual time frame can be anywhere from 10 to 30 business days, depending on the business. (Read More)
Stock Sales are normally done with large corporations where there are many shareholders and are seldom seen in smaller businesses. In these sales you are buying the entire corporation including the Accounts Receivables, Accounts Payables and any and all Liabilities. An Asset Sale are what buyers do to purchase a small business. The Asset Sale implies just that, buyers are purchasing the assets of the business, i.e. the name, the fixtures, furnishings and equipment, inventory (if it applies), website, phone number, customer list, etc. (Read More)
Recasting financial statements of a business is crucial to both the Owner and Prospective Purchaser because it gives you the actual Owner Benefit that the business is providing. If you were to look at a businesses Tax Return and saw the Net Profit (or Loss) you would ask yourself how are they staying in business? This is where Recasting comes in and gives us the actual owner benefit. This is done by Addbacks. Addbacks are all the items that can be added to the Net Profit, such as Depreciation, Amortization, Interest, Owners Salary, Professional Fees (Legal & Accounting), Cell Phone bill that is half used by the family, Personal Car expense, Meals & Travel, etc. (Read More)
With over 60 years of experience, our team is more than familiar with the business market. We have the expertise to ensure you that you’re getting the best service available!