Buying a Company

Blog

Expect Negative Surprises from the Seller
While it may not be statistically significant in terms of all the deals ever done, in my experience of negotiating with roughly 200 prospective sellers, signing approximately 40 letters of intent (LOIs) and acquiring about a dozen companies, I can confidently state that there were...
 
 
Top 25 Franchises
Each year Entrepreneur Magazine ranks the top franchise opportunities.  I’ve pasted below their most recent list of the top 25 franchise opportunities.   Of the top 25, eleven of the franchises are fast food, six are retail while two each were in the travel and leisure, janitorial...
 
 
Painful Lessons Learned on My First Acquisition
I was recently looking at a business plan involving software that was several years old and was being repositioned to sell into a new market segment. While discussing the plan with our interns, I was immediately transported back in my memory to twelve years ago when I acquired a software company...
 
 

Q&A

Need Advice on Buying a Retail Store
I am negotiating to buy a retail business and would like your advice.  I’ve listened to your “Before You Launch Your Business” presentation -- which was very good -- but I’d like some help thinking through buying this business.   The business is a boutique in an upscale part...
 
2 comments
Looking to Buy Technology-Based Intellectual Property
I am a technology executive that is interested in acquiring a technology-based product IP (intellectual property) that I can work on and take to market.  Any ideas on how I go about finding technology-based ideas for sale? ...
 
1 comment
Managing Future Uncertainty When Buying a Company
I've read through the Q&A postings relating to valuation of an existing business for purchase and appreciate the information you've presented.  I wonder if you might elaborate on how pricing should be adjusted in light of the increased risk present under our current economic...
 
 
Attempting to Buy a Janitorial Services Company
I am considering buying a janitorial business, but I have never been a business owner. I have been in the ministry for 20 years, but desire to build a family based business for my children for their future and families. Our desire is to be able to have a multi-generational business and ministry to...
 
 
Evaluating the Purchase of an E-Commerce Site
I am considering buying an e-commerce site and have several questions prior to moving forward with the deal. The site has been built, supplier relationships have been established, but the site has not really had a lot of meaningful business yet.  The owner is willing to consult with me after...
 
 
Using an Earnout Structure When Buying a Business
Do you have anymore information on the structure of an "earnout" buyout?...
 
 
Structuring the Management Buyout of a Small Business
I've been managing a business on behalf of an absentee owner for the past few years and he has offered to sell it to me.  The business involves assembling and shipping a product to customers that submit their orders via the phone or internet.  The revenue in the past 12 months has been...
 
 
Benefits of Buying a Company
What are the benefits of buying an existing company? ...
 
 
Determining the Price
How do I determine the value and price I should pay for a company? ...
 
 
Company Research
What are the most important questions I that I should ask when researching a company? ...
 
 
Lease Management Description
Can you describe "Lease Management" and provide more information on structuring that sort of deal?...
 
 
Lease Management for a Farm
I am interested in buying a farm worth $4.3 million.  I know the Seller well, but I do not have much to invest.  Would the lease management buy-out structure work for this kind of transaction? ...
 
2 comments
Finding a Business for Sale
What is the best way to search for and find businesses for sale?...
 
 
Exploring Franchise Opportunities
What is the best way to explore different franchise opportunities?...
 
 

Downloads

Article: Consolidations vs. Roll-Ups
 
Checklist: Due Diligence Checklist
 
Checklist: Initial Meeting Agenda
 
Checklist: Potential Deal Structure
 
Legal Template: Confidentiality Agreement - Mutual (NDA)
 
Legal Template: Letter of Intent - Asset Purchase
 

Quotes

Warren Buffet on Buying a Company
It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price. When a management team with a reputation for brilliance tackles a business with a reputation for bad economics, it is the reputation of the business that remains intact. - Warren...
 
 


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