Buying or selling a business on the NSW South Coast
Grant Business Brokers Australia has listed the essential issues that must be considered when buying or selling a business.
These are important, such as the asking price, profitability of the business you are thinking of buying, profit, trading figures for the business, and your own suitability to the business you want to buy.
If you are selling your business on the NSW South Coast, Grant Business Brokers Australia has identified ways they can help you while maintaining confidentiality of your business and trading figures, assessing the value of your business, marketing your business for sale, and negotiating the sale of your business to the buyer.
LETS LOOK AT THE PURCHASE PRICE
Lets look at the …….. Purchase Price V "The Figures" …..
There are three situations concerning the entry price of a business in relation to the existing proprietors trading figures,
1. The entry price is relevant IF you are going to trade at the same level.
2. If you are going to trade below his figures you are going to make a capital and trading loss.
3. If you are going to trade above these figures you are going to make a capital and trading profit.
Ask yourself which option are you going to take, 1 - 2 or 3.
If you take option 1, you will probably achieve the existing bottom line income.
If you take option 2 you probably have not investigated the biz sufficiently.
If you take option 3, then what is the relevance of the existing trading figures. Instead of hawking someone's else's trading figures around the traps you would be a lot better off, preparing a smart business plan or consulting a business advisor or learning how to do formal market analysis to quickly identify problems or advantages as they happen to rectify or capitalise on current situations.
What I am suggesting is that it is more important to look inwardly at your own ability & convert that energy into your business direction & profit making potential rather than looking at the performance of the prior occupant.
The ENTRY price should be based on what YOU can do with the business NOT what the other guy did.
VENDORS
Want to sell your business or commercial property ?
Here are 10 steps that you may consider.
1. Contact GBBA on 02 4476 2359.
2. We will forward our terms & conditions & basic information for your information.
3. GBBA will request financials etc & provide you with a written report revealing a market assessment of your business as seen from the perspective of a purchaser’s accountant. This is of course the most critical part of the program. IE To get the price right.
4. Agree with GBBA on an effective list price.
5. Discuss a marketing strategy with GBBA.
6. GBBA will take ALL enquiries & progress ONLY potential purchasers to an inspection AFTER they have been fully qualified.
Jim has had over 30 years experience as a personal & corporate retail banker. He is a licensed Finance Broker, he carries a Master Security Licence and of course a Business Broking Licence. Jim has been resident at the same address for the last 20 years & has a reputation for extreme honesty & integrity in the community.
His forebear was known at "The Honest man" & Jim has carried those same principals into his daily activities & business dealings. He is an international traveler & will welcome close associations with other international brokers.
When not selling businesses he can be found on the fairway looking for his wayward golf balls.
IMPORTANT NOTICE. PLEASE READ.
The information contained in this site has been obtained from the business proprietors. Whilst GRANT BUSINESS BROKERS AUSTRALIA (GBBA) has made reasonable enquiries as to the correctness of the relevent information we can make no associated guarantees and consequently we give no warranty as to the information given or contained. We strongly suggest that before you proceed with any business purchase you should seek professional advice from your accountant, solicitor or your financial advisor.
