Are You Emotionally Ready to Sell?

Quite often sellers don’t give much thought to whether or not they are ready to sell. But this can be a mistake. The emotional components of both buying and selling a business are quite significant and should never be overlooked. If you are overly emotional about selling, then this fact can have serious ramifications on your outcomes. Many sellers who are not emotionally ready, will inadvertently take steps that undermine their progress. Selling a business, especially one that you have put a tremendous amount of effort into over a period of years, can be an emotional experience even for those who feel they are more stoic by nature. Before you jump in and put your business up for sale, take a moment and reflect on how the idea of no longer owning your business makes you feel.   Emotional Factor #1 – Employees It is not uncommon for business owners to form friendships and bonds with employees, especially those who have been with them long-term. However, many business … [Read more...]

At Inbar Group, We Make Your Dreams a Reality

With more than seventeen years as the leading business brokerage firm in the Tri-State area, Inbar Group has been successfully marrying business sellers and buyers with a high satisfaction rate. Still skeptical about contacting us to plan your exit strategy? Perhaps a success story about one of our clients will convince you otherwise: Mr. Lieberman[1] arrived to America in the 1980’s with his wife and two children at the age of forty. Although Mr. Lieberman studied engineering in Moscow and made a decent living as an engineer designer, he decided to immigrate to the land of opportunity for the chance at a better life. With only $700 in his pocket and two briefcases for himself and his entire family, Mr. Lieberman enrolled in an English course and took a job as a draftsman in a conveyor systems company, where he made $7/hour. Things were going great for the Lieberman family until the company that Mr. Lieberman worked for went bankrupt in 1994. Placed in a tough position, Mr. … [Read more...]

Keys to a Successful Closing

The closing is the formal transfer of a business. It usually also represents the successful culmination of many months of hard work, extensive negotiations, lots of give and take, and ultimately a satisfactory meeting of the minds.  The document governing the closing is the Purchase and Sale Agreement.  It generally covers the following: • A description of the transaction – Is it a stock or asset sale? • Terms of the agreement – This covers the price and terms and how it is to be paid.  It should also include the status of any management that will remain with the business. • Representations and Warranties – These are usually negotiated after the Letter of Intent is agreed upon.  Both buyer and seller want protection from any misrepresentations.  The warranties provide assurances that everything is as represented. •  Conditions and Covenants – These include non-competes and agreements to do or not to do certain things. There are four key steps that must be undertaken … [Read more...]