When Is The Right Time to Sell?
While there is no exact formula, there are better times to sell, than others. Certainly, selling when revenues and owner’s cash flow are on the way up is better than selling when they are on the way down. How long an owner has left in their working life is another consideration. Remember, a buyer will ask you to sign a non-compete. Another good time to sell is when a business owner is approaching retirement. This is especially true if the business is cyclical and the cycle has been particularly strong for a while. It is best not to wait for that next recession to try to sell. So if you are approaching retirement or simply burnt out (which is upwards of 40% of the reason why small business owners sell), if you can, please give us a call well in advance. By talking to one of our San Antonio business brokers early in the process, we can plan in advance for any changes that might need to be made to get the business sold. Through planning, we can make sure the deal is as smooth as possible. If you haven’t had time to plan for a sale, don’t worry, this is very normal and how most of our businesses are sold.
Do I Need One of CGK’s San Antonio Business Brokers? Yes, You Do.
Selling a business is one of the more complex deals in the business world. While you may have been approached by a buyer or buyers in the past, getting a deal across the finish line is a very different story. Many of those buyers are tire kickers, not financially qualified, not ready to pay a market rate, or unwilling to give you fair terms for your business. There is a reason why the acceptance rate for first-year investment banking analysts at Goldman Sachs is lower than the acceptance rate at Harvard. While your deal may be magnitudes smaller than those worked on by Goldman, it will be nonetheless complex. There are banking, business valuations, legal, due diligence, and accounting complexities that must be taken into consideration. We usually find multiple buyers for your business and will introduce a bit of competition to the process, to ensure you get, not only the best price, but the all-important, best terms. Plus, we will find the right buyer for your business. One that will take care of your employees and continue the legacy that you worked so hard to build. Our banking, legal, and accounting contacts ensure a smooth process while we will “quarterback” the entire deal, keeping it on track. We make it easy for you to buy or sell a business.
How About Business Valuations?
If you are not ready to sell, it might be important to have a business valuation. Unlike real estate, most businesses, have little in the way of hard assets. The bulk of most business’ valuation is the in the form of goodwill and intangibles. What are those worth? While it’s hard to put a finger on, say, what a business’s reputation might be worth, this is an important element of what makes your business valuable. We have some of the best credentials at this level to give you a realistic view of why your business is worth what it’s worth. We’ll show you our proprietary valuation system, which includes what a buyer might be willing to pay, what a bank might be willing to lend, and at what price a third-party, arms-length, business valuation would determine. All three of these different stakeholders need to work in some sort of concert, or else the deal will likely fall apart. While these are also known as a business appraisals, valuations are how a business’s worth is determined. Business valuations can be complicated, as a true valuation includes a lot of different, important details. A business valuation will also help you prepare for a sale. We will uncover not only the quantitative aspects, but go over qualitative aspects that make a business more valuable in a buyer’s eyes. Many folks find these business valuations very informative. We think you will, too. Our business valuation experts will give you a formal evaluation of your business. This determines the correct selling price, so that you have a realistic expectation of your business’s value, when it’s time to go to market.
Ready to Buy?
While our main focus is to help sellers, we also help those who want to buy a business. Are you a business owner who wants to expand through acquisition? We can help. We will find a competitor within your industry to buy, or possibly a business within your supply chain, for vertical integration purposes. If you’ve been grinding on the corporate ladder for years, and now it’s time to be your own boss, we can help, as well. What we can’t do is determine exactly what type of business is right for you. So before you call us, please have your preferred criteria for buying a business nailed down. Some of this will depend on your prior experience, as lenders prefer that you have some industry experience, or at least experience as a business owner, before they’ll make you a loan. If you would like to find a business to purchase, please contact us and we can help put you together with the right kind of business for you.
In Summary: We are your San Antonio Business Brokers.
CGK Business Sales are the best San Antonio business brokers and mergers and acquisitions advisors in the San Antonio TX area. Most San Antonio business brokers tend to be inexperienced in higher levels of finance and M&A. We only hire the best business brokers or former investment bankers, ones with better credentials, schooling, and the highest levels of financial acumen. Don’t you want the best for one of the most important financial decisions of your life?
We sell businesses at better prices and terms than any of the other San Antonio business brokers or mergers and acquisitions advisor due to our top-notch, proprietary process. Put us to work for you and see how and why.
While only 20% of small and medium-sized businesses actually sell, we sell 85%+ of our businesses. This is because our mergers and acquisitions advisors have excellent finance, academic, and industry backgrounds. People trust us to sell a business in San Antonio.
CGK Business Sales: We are different from the rest. We love selling businesses in San Antonio. Talk to us and find out why.
We know San Antonio.
We’ve hummed “San Antonio Rose” while strolling on the Riverwalk. We’ve eaten our fill of German and Tex-Mex and BBQ and then lost it all on the Iron Rattler at Fiesta Texas. We’ve chanted “Go Spurs, Go!” and know that Tim Duncan and David Robinson are the best of all time. And we know there’s no basement in the Alamo. So we know San Antonio.
But even better, we know San Antonio businesses. We know the market: both what sellers need and what buyers want. You know we can close a sale and you know we can close it right. Contact us today to start a confidential, no obligation conversation.
What They’re Saying
Excellent service. I was in need of a valuation for a possible acquisition. Greg was extremely thorough. All my questions were answered in a timely manor. I couldn't be happier with the results. Thank you for all you do.Darin LaFon
Derik was awesome to work with. Potential buyers were well screened before been shown the business. He found us great buyers who have taken the company to the next level. I recommended him to a friend who also has a good and successful relationship with him. I can recommend him without any reservations.Dave Hobson
Greg Knox, CFA has spent his 20+ year career in investment banking, private equity, a hedge fund, and institutional trading, at institutions as Deutsche Bank, T. Rowe Price, and Wachovia. After his MBA at Cornell... (click Greg's picture to read more)
Derik Polay has over twenty years of experience in distressed securities and mergers and acquisitions and seven-plus years of upper-management positions at small and middle-market businesses. Derik’s previous ... (click Derik's picture to read more)
Eric Lewis has over 17 years of experience in the financial industry. He has worked for a breadth of companies ranging from investment banks to proprietary trading firms. Following his MBA at the University of Chicago, Eric... (click Eric's picture to read more)
Jason Clendaniel has been in “business” since he was seven years old. Whether mowing lawns, or delivering papers, Jason learned business from the ground up. After graduating from the United States Naval Academy... (click Jason's picture to read more)
Matthew Mistica has 13+ years of experience in finance and entrepreneurship. Matthew spent 7 years in Corporate Finance working for Chevron and Shell Oil. After his MBA at the University of Houston ... (click Matthew's picture to read more)
Wes McDonough has over 18 years of experience in both entrepreneurship and corporate finance. Previous to CGK, Wes held numerous positions, including accounting, payroll, billing, project management, and IT/Application Support at ... (click Wes' picture to read more)
Matthew Zienty has 20+ years of financial industry experience in areas ranging from institutional equity trading, currency trading, financial sales, RIA valuations, payout/loan negotiations & compliance. He has worked for ... (click Matthew's picture to read more)
David Smoot has 20 successful years working for Fortune 500 companies in sales and finance and owning his own small businesses. His leadership roles included sales, finance, managing multi-million dollar product launches, training new ... (click David's picture to read more)
Mr. Thomas “Jay” Lennon is an Air Force veteran, combat aviator, and distinguished leader with 26 years’ experience leading multi-million dollar projects, finance, and organizational transitions, inside and outside of the government.... (click Jay's picture to read more)
Lance Hupfeld has over 25 years of experience in sales and business development management. With a broad array of valuable experience, Lance has deep knowledge in healthcare consulting... (click Lance's picture to read more)