Profiting twice from the sale of their business is a common benefit for sellers who participate in a multi-company, industry-specific merger. From among the three major categories of business buyers, private equity groups (PEGs) are currently the most active purchasers of mid-market companies, and the majority of PEG acquisitions are part of what is commonly …

Industry Rollups Provide Unique Opportunities for Business Sellers Read More »

If structured properly, the seller of personal goodwill receives significant benefits … with no adverse tax consequences to the buyer. By Jim Afinowich One of the roadblocks that commonly arises in structuring a business sale has to do with the competing tax consequences for the buyer and seller. From a tax standpoint, what is good …

Purchase Price Allocation: Martin Ice Cream and the Sale of Personal Goodwill Read More »

Your willingness to carry back a portion of your sale price expands the pool of potential buyers and can drive up your price, level the field in due diligence, and turn your sale into a good investment. In many business sales, the seller’s excitement at receiving a letter of intent from a prospective buyer can …

Seller Financing a Key to Attracting More Buyers, Maximizing Your Price Read More »

The Letter of Intent in a Business Sale: 7 Seller FAQs In a business sale, the letter of intent is vital document, and sellers need to thoroughly understand its purpose and scope. While his trucking company was always his first love, Howard had a variety of business interests, including farms in Missouri, a heavy equipment …

The Letter of Intent in a Business Sale: 7 Seller FAQs Read More »

Preparing for Due Diligence in a Business Sale For many sellers, withstanding the challenges of the due diligence phase depends on keeping their emotions in check and anticipating the buyer’s requests for information. If you have been through a business purchase or sale, you have likely experienced the unique tension and strife common to that …

Due Diligence Preparation Read More »

Concerned about the M&A environment? Look at our top three considerations. One – Deal Flow According to a recent Wall Street Journal article, the total value of M&A deals on a global basis fell 37% in 2022 from the record high established in 2021, as depicted in the below chart: Two observations: First, these numbers …

Top Three Factors for the Small Business M&A Market Read More »

Inflation, Interest Rates, and Planning for the Sale of Your Business For potential sellers, focusing on the future, knowing your objectives in selling, and understanding what motivates buyers can reveal the best time to put your business on the market. If owning a business were easy, everybody would do it – and no one gets …

Inflation, Interest Rates, and Planning Read More »