(2 Topics)
1. Getting the Best Valuation on Your Business
Why should a business owner
in with no intention of immediately selling be interested in valuing their
business?
Because understanding the factors that determine the value of their business
will pay tangible dividends by focusing on ways to increase the firm's short
and long-term profitability. There is no time like the present to
begin to understand what a business valuation is, under what circumstances a
valuation is customarily completed, and why it needs to be done with
professional advice.
And when the process is complete the business owner can make some rock solid
decisions -what their true net worth is, how much a banker will be likely to
lend them, how much buy-sell insurance is needed, how much tax their heirs
will owe, how to divide assets among heirs, and what someone will
realistically pay for the business if it is to be sold.
This BGR covers the reasons why businesses should have a current valuation,
the common methods used to compile valuations, and what a business owner can
do to improve the financials of their business and improve their valuation
figure.
2.
Professionalizing The Family Business
Family owned businesses make up a major portion of the economy. On the other
hand they are volatile and account for the large majority of business
failures. Sadly, the figures for successful transitioning between
generations are not optimistic. Only 30% of family businesses make it to the
second generation, 12 percent to the third, and three percent to the fourth.
What are the reasons for failure? Can they be minimized? The answer is ‘Yes!’
This BGR explores these
topics and offers a number of ways in which family owned businesses could
become more professional in their approach to business to promote their
likelihood of survival.