Posts Tagged ‘business value’

Take an objective look at what your business is worth

As seen in Dave Driscoll's column in St. Louis Small Business Monthly

Don’t be fooled by your distorted perspective By: Dave Driscoll As an owner who has built and grown your business, you know it inside out – the good and the bad – so you should know better than anyone else what your business is worth, right? Unfortunately, no. Your years of working hard, solving problems,…

Read More

6 Common Issues that Diminish Business Value

As seen in Dave Driscoll's column in St. Louis Small Business Monthly

By Dave Driscoll Every company has a natural lifecycle and ownership changes are a common occurrence. While the name on the business may remain the same, the philosophy, goals, and objectives evolve as the ownership changes. Unfortunately, many owners damage their business value by failing to plan for the eventual transition to a new owner.…

Read More

Why isn’t my business worth as much as I think it is?

As seen in Dave Driscoll's column in St. Louis Small Business Monthly

by Dave Driscoll According to the business broker community, the main reason deals don’t close is a valuation gap between seller and buyer. The second most common reason is unrealistic seller or buyer demands. More than 40% of businesses don’t sell because of idealistic expectations of the business value coupled with demands driven by seller…

Read More

What Are SDE and EBITDA? What's The Difference?

What is my business worth? This is a common question from small-business owners considering selling a business. The basis of all business valuations revolves around two terms: SDE and EBITDA. SDE = seller’s discretionary earnings EBITDA= earnings before interest, taxes, depreciation and amortization How are SDE and EBITDA calculated, and what is the difference? SDE…

Read More

What are SDE and EBITDA? What's the difference?

What is my business worth? This is a common question from small-business owners considering selling a business. The basis of all business valuations revolves around two terms: SDE and EBITDA. SDE = seller’s discretionary earnings EBITDA= earnings before interest, taxes, depreciation and amortization How are SDE and EBITDA calculated, and what is the difference? SDE…

Read More

Corporate Hygiene will help Sell your Business

Good corporate hygiene leads business owners to financial freedom

How can good Corporate Hygiene help sell your business? Merriam-Webster defines hygiene as “the things that you do to keep yourself and your surroundings clean in order to maintain good health.” Apply that definition to your business and you will build greater value for it when you are eventually ready to exit. What is business…

Read More

How can you increase your businesses value drivers?

What can you do to increase your Business Value? When it’s time to sell the business, value drivers determine the value of the business and impact the desirability and risk for a potential buyer. Great! But what does that mean? OK. Let’s look at why and how much “value drivers” influence the selling or buying…

Read More

Improve Cash Flow And Build Business Value

These tips are easy to implement and make a big difference in your business value… Tip 1: Incentivize key employees to increase cash flow over baseline. Use WIIFM (What’s In It For Me?) to align your cash flow goals with employee behavior. Let’s say you want to reduce your product’s material costs or increase your…

Read More