Inspiration
Can Add-Backs Impact The Sale Price Of A Business?
If you’re in the process of analysing the financial documents of a business you want to buy, or you’re thinking about selling your business, both EBITDA and add-backs are terms you need to know about. So what exactly have they got to do with assessing a potential...
What Is Working Capital And Why Does It Matter?
Considering buying a business? Analysing the financial documents of a potential acquisition enables a buyer and their team to work out whether the business is profitable and stable. Amidst all of the reports and numbers, one calculation vital for buyers to make is...
Why Are Management Accounts Important?
Plenty of successful businesses practice management accounting because it allows them to base big business decisions on real-life data. Alongside other important financial documents like the balance sheet, P&L and cash flow statement, your management accounts...
How To Understand Financial Statements – A Beginner’s Guide
Whether you’re buying or selling a business, understanding financial statements is crucial. Being able to adequately evaluate financial statements gives you a direct window into the financial health of a business. Many an inexperienced investor has fallen into...
Got A Potential Buyer? So, What Now?
You made it through the first meeting alive! Congratulations. Knowing what to expect and preparing ahead of time meant you could get the information you needed from the other party. If it was a success, you will both feel satisfied and positive about the prospective...
Initial Meetings – A Seller’s Guide
Business owners sell up for a variety of reasons. New opportunities arising elsewhere, retirement and capitalisation can all play a part. Whatever the reason, and whichever route to sale you chose, sellers will always reach the same daunting cornerstone. The first...
How To Prevent The Unthinkable: Disaster Recovery Planning
Her Majesty’s recent Platinum Jubilee catapulted me back a whole decade. Picture the scene. It was May 31st 2012. I had recently signed the Sale and Purchase agreement for the sale of 90% of my first business. One of the main conditions of sale is for me look after...
Initial Meetings – A Buyer’s Guide
The first buyer/seller meeting is an opportunity for the buyer to scope out the owner and their business on a deeper level. Alongside this fact-finding mission, it’s vital that rapport and trust are built. This is because a smooth, successful negotiation stage depends...
The First Business Buyer/Seller Meeting And Why It’s Important
First impressions are critical in business. Whichever side of the table you’re sat on, the initial meeting between both parties will set the tone of the discussions to follow. It’s therefore vital to establish a good rapport, and quickly. Sounds like a lot of...
How To Approach A Business That You Want To Buy
Buying a business can make you money. Not only that, it can expand your asset portfolio and help your own business to grow if you take on competitors. New to buying a company? Maybe you’ve been mulling over the idea of buying for a few months and feel a bit...