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Articles tagged: Business Transition and Exit Planning
The First Step to Purchase: The Letter of Intent
The letter of intent to purchase or acquire a business is the first step in the M&A process. As a seller, these are the terms to look for in an LOI. Read More
Using Free Cash Flow vs. EBITDA to Determine Return on Investment
The return on your investment depends on how your investment is structured and is not necessarily the same as the performance of the company. How’s an investor to measure? Read More
Valuing Your Company’s Online Assets Before Sale
Your company’s online footprint constitutes an important part of the overall value of its goodwill. Indeed, the ability to create an online experience for a brand and to use online channels to reach new customers and retain existing ones is a part of the evolving nature of business in the 21st century. As a seller, […] Read More
When Should a Seller Sign a Letter of Intent?
A letter of intent is used in the purchase and sale of a business to set forth the framework for the negotiation of definitive transaction documents and closing of a transaction. Normally, a letter of intent does not create a binding contractual obligation to purchase or sell the business. However, a non-binding letter of intent […] Read More
Understanding the Purchase Agreement: The Essential Overview and Risk Allocation Provisions
The Purchase Agreement is the principal arena of negotiation. Understanding the document and its risks is foundational to the sale of your business. Read More
An Alternative Exit Strategy for Distressed Business Owners
What happens when a family business with debt and no exit strategy faces a crisis? Read about their alternative solution: a distressed debt investor. Read More
Planning and Staging a Company for Transition
Are you planning to sell your business or otherwise transition its leadership? Here’s how to plan and stage your company for transitioning at maximum value. Read More
Reading and Writing a Letter of Intent
Think of the LOI as akin to a father asking his daughter’s date, “What are your intentions with my daughter, young man?” but doesn’t have to be that intimidating. Read More
ESOPs: Tax Advantages of an Employee Stock Ownership Plan
Employees Have Retirements Staked on Company Success An employee stock ownership plan, commonly referred to as an ESOP, offers a range of benefits for sponsor companies, in addition to its owners and employees. As a qualified employee benefit plan, an ESOP is designed to provide retirement benefits to employees, and is similar to that of […] Read More
Business Valuation: Art or Science?
Business valuation is both a science and an art You need both your right and left brains when you set about valuing businesses, which is an endeavor that is mostly science, with a fair bit of art added in. To begin, one must understand the three principal methods of business valuation. Next, one must understand […] Read More