Hot Business List -- June 2011

Here are the most popular business categories on BusinessesForSale.com for June 2011.

Top Ten Main Street Businesses:

1. Convenience Stores
2. E-commerce businesses
3. Websites
4. Sandwich Shops and Delivery Businesses
5. American Restaurants
6. Bars
7. Fast Food Franchises
8. Liquor Stores
9. Delis
10. Gas Stations

Top Ten Middle Market Businesses:

1. Miscellaneous Manufacturing
2. Miscellaneous Service Businesses
3. Oil and Petrochemical Related Businesses
4. Fabrication Businesses
5. Road Haulage and Freight Services
6. Security Related Businesses
7. Storage / Warehouse Real Estate
8. Import and Export Businesses
9. Machine Shop Manufacturing Businesses
10. Medical Supply Businesses

Other Factors that Affect Business Value

There are many factors that affect a company's value. In recent articles we discussed the quality of the financial statements, historical performance, management, and appearance. The following discussion highlights some other factors that often impact value.

In the process of determining the value of a company, analysis of the financial statements is crucial but in many cases, the nonfinancial information is more important than the financials. If you do not understand the company's operations, ownership structure, products and services, markets and marketing, and employees it is very difficult to determine the company's financial health or its future.

Ownership Form

The form of ownership is an important component of the valuation process for several reasons; such as comparability to other businesses when using the market approach or in comparison to industry composite data. Another reason to understand the ownership structure is legal rights and/or restrictions applicable to the interest being valued. For example,...

Read the rest of entry »

The Universal Franchisee Bill of Rights

At a recent meeting the Coalition of Franchisee Associations ( CFA) ratified the Universal Franchisee Bill of Rights. It’s important that franchisors and franchisees understand what this document states.

Whatever role one plays in the franchise industry it’s important to recognize and be aware of important change. An example of this type of franchise industry change recently took place. On June 22, 2011, the Coalition of Franchisee Associations (CFA) unveiled the Universal Franchisee Bill of Rights during the CFA Day Forum. The CFA’s Fair Franchising Committee presented the document to representatives from CFA member associations and individual franchisees.

The Universal Franchisee Bill of Rights contains a number of key components, including: freedom of association, good faith and fair dealing, full disclosure regarding fees, fair sourcing of goods and services, right to renew the franchise, right to transfer, encroachment, termination rights and fairness in dispute resolution.

Read the rest of entry »

Top 10 Exit Planning Mistakes

1. Bad timing – judging the best time to sell is important to maximise the price received, e.g. when the business is doing well or when there is strong demand as there is at present.

2. Being reactive – waiting for the perfect deal is like waiting to win Lotto – it is highly unlikely. Better to be pro-active when the time comes and have the business marketed professionally.

3. Not considering all your options – a sale to staff? A sale to a competitor who has synergies? Bring in a junior partner so you ease out?

4. Being distracted – do what you do best – run the company. Let the professionals market your business and negotiate the best deal.

5. Not knowing your value – what is your business worth now? Have you realistic expectations and will that provide enough for your next project?

Read the rest of entry »

The Franchise Fitness Craze

The fitness industry continues to be one of the fastest growing concepts in the franchise industry. This article provides a look inside the fitness franchise craze and why this sector will continue to grow.

As Americans become more health conscience and focus greater attention on diet and exercise, the personal fitness industry continues to benefit from this healthy trend.  According to its 2010-2011 forecasts, the Bureau of Labor Statistics predicts employment of fitness workers is expected to increase 29 percent over the 2008–18 decade, which is much faster than the average for all occupations. These workers are expected to gain jobs because an increasing number of people are spending time and money on personal fitness, as more people recognize the benefits of health and fitness programs.

The United States Department of Commerce reports that there are approximately 31,000 fitness centers and health clubs in the United States and franchises represent almost 65% or 20,000 of the total, which includes personal fitness programs unique to franchising, such as Jazzercise. There should be little doubt that the personal fitness industry will continue to provide significant opportunities for individuals looking for franchises with a strong upside.

Market Potential is Key

When considering any franchise opportunity, market potential is an important factor. A strong and vibrant market for a franchise provides the right climate for...

Read the rest of entry »

Len Krick Documentation

Len Krick has supplied us with the documentation related to his recent case with the Nevada Securities Division.  This documentation includes everything from the 2006 No-Action Letter from the SEC to Country Business, Inc., all the way through to the compliance checklist and listing agreement language now being used by Len Krick as a result of his experience.

You can view all the below forms at this link with numbers 2 and 9 in MS Word Format if you would care to use them.

  1. November 8, 2006 – SEC’s “CBI” No‐Action Letter
  2. Len Krick’s Stock Sale Acknowledgement, Notification, and Disclaimer
  3. March 23, 2011 ‐ Subpoena from the State of Nevada Securities Division
  4. May 17, 2011 ‐ Position Paper from Krick to State of Nevada Securities Division
  5. April 20, 2011 ‐ Amendment to listing Agreement Converting to Consulting Agreement
  6. May 23, 2011 ‐ Proposal by Krick to Nevada Securities Division
  7. May 24, 2011 ‐ No‐Action letter from the Nevada Securities Division to Krick
  8. June 8, 2011 ‐ Compliance and Indemnification Letter From Krick to Thomas Schuman (Shareholder selling stock to Michael Baker Corporation)
  9. May 25, 2011 ‐ “CBI” No‐Action Letter Compliance Checklist to be used by Krick going forward
  10. June 28, 2011 ‐ Language added to Sunbelt Business brokers of Las Vegas, Inc. Listing Agreement

REAL‐LIFE CONSEQUENCES AND SOLUTIONS FOR BUSINESS BROKERS WHEN THE PARTIES CONVERT AN ASSET SALE TO A STOCK SALE - Part 2 of 2

Before continuing, I thought I would tell you what happened to the transaction. I was in New Orleans at the IBBA Conference, when my client copied me on an e‐mail saying to the Buyer (a public company) that the deal was "off". I thought, "I've been working on this deal for a long time. I need this large commission to pay my legal bills. Now that my client has notified me, in writing, that the stock deal is "off”, I'm going to step back in.” I did and came up with a way to indemnify the public company against potential future liability, from a possible construction defect suite, by purchasing an insurance policy from Lloyds of London. The deal was "back on." This just proves the point that the business brokers need to stay in these deals to the end, and cannot back off once the parties notify the broker that they intend to conclude the deal as a stock sale.

The Chief of Enforcement returned from her vacation, and presumably, the Division’s investigators concluded their review of my submission. We have no explanation for what happened next. ...

Read the rest of entry »

REAL‐LIFE CONSEQUENCES AND SOLUTIONS FOR BUSINESS BROKERS WHEN THE PARTIES CONVERT AN ASSET SALE TO A STOCK SALE- Part 1 of 2

The following is a true account of events that actually happened in the spring of 2011. While business brokers have been “theoretically” at risk when a transaction is concluded through the transfer of equity in the selling entity to a buyer, I actually lived this nightmare. As a result, I thought I would let everyone learn from the experience. All the major documents referred to herein will be linked to in future blog postings, for your review.

Civil Suit Pending Against Krick in Federal Court:
I am still battling a major civil suit, filed in Federal Court, brought by a former client who is accusing me of among other baseless claims, "unjust enrichment" because I received commission for selling the equity he personally owned in his business entity after he and the Buyer decided to convert the $5,450,000 transaction from an "asset" sale to a "stock" sale in August 2006. Their contention is that...

Read the rest of entry »

Len Krick Update -- State Case Closed

The following email is from Len Krick regarding his case with the State of Nevada Securities Division. Knowing how important the details and outcome of his case are to all brokers, Len has sent us a great deal of information.  Because his case is extremely pertinent to all brokers, we will be sharing this information over the next few weeks. 

Today's posting will just include his email and a link to the Nevada no-action letter.

 


Dear Fellow Business Brokers and Supporters:

Each of you has sent me e-mails of support and interest in my fight with the State of Nevada. So, I thought I would bring you up to speed now that I have resolved that issue. My civil case in Federal Court is still in full swing, though.

The “case is closed” with my State of Nevada Securities Division’s investigation; I received and paid my “assessment.” Now I can provide the detail I promised.

Read the rest of entry »

Summertime Marketing

Set the Stage Now for Great Sales This Fall

"Summertime and the living is easy," wrote Ira Gershwin, in 1943. But that was a different century. Yes, sales may be slower in some businesses during the summer, but if you are slipping off to the beach instead of setting up appointments, you won't be ready to do business when fall finally rolls around. In today's world of smartphones and iPads, people will stay connected, even when they are at the beach.

Best Kept Secret. Summer marketing is the best kept secret, because so many companies table their marketing in the summer. If you're the only one sending a postcard or making a phone call, you have a much better chance to be noticed than in the midst of all the "noise" of September, when people are scrambling to make up for time lost. Plus, while you've already got meetings lined up with those larger companies...

Read the rest of entry »

Welcome to The Business Broker,
FREE for the First Time in Over 25 Years!

Previously known as the Business Broker Online Magazine, the Business Broker Blog is the voice of the industry, allowing brokers and intermediaries to keep their finger on the pulse of the profession.

 Subscribe via email
 Follow us on Twitter
 Follow us on Facebook
 Join Our LinkedIn Discussion



CONTRIBUTORS

Tom West
BBP Co-Founder  ~  Massachusetts

Tom is a founder and past president of several large business brokerage firms and is also a founder, past president, and former Executive Director of the International Business Brokers Association (IBBA).  He has authored and co-authored several books, is editor of all 21 editions of The Business Reference Guide, and is often quoted in a variety of national newspapers and periodicals.

Email 


Loren Marc Schmerler
Bottom Line Management, Inc.  ~  Georgia

Loren CPC, APC is President and Founder of Bottom Line Management, Inc. He has been a business broker since 1986 and a business consultant since 1970. Loren represents sellers and buyers and has qualified for the 2012 Georgia Association of Business Broker’s Million Dollar Club.

Email  |  Web



Robert Flynn
Managing Partner of United Brokers Group, LLC ~ Rhode Island
Robert has been a business brokerage firm owner for nine years. Prior to that period he was a Senior Executive in two public and privately held technology and manufacturing businesses for twenty-eight years. From 1982 to 1996 Robert was a Senior Executive at the publicly traded +$3 billion (USD) London-based Cookson Group. He managed technology and manufacturing companies in England and the United States with a particular emphasis on startup and turnaround situations. Robert is also a licensed Rhode Island real estate salesperson and has owned five businesses.

 

Email  |  Website 1  |  Website 2 


Bob Sweeney
President of Innovative Travel Acquisitions, Inc. (ITA) ~ Georgia
Bob founded the Atlanta-based travel and tour business brokerage firm in 1991 after a successful 9-year career on Wall Street. Known as the "Matchmakers for the Travel and Tour Industries", ITA is a member in good standing with the American Society of Travel Agents (ASTA), the National Tour Association (NTA) and the International Business Brokers Association (IBBA). ITA operates a confidential platform LINKING buyers and sellers of travel and tour related companies throughout North America.

Email  |  Website  


Darrell Arne
Founder of Arne & Co.  ~  New Mexico
Darrell began his professional career in public accounting in 1970. In 1983, Darrell formed his own CPA practice, with emphasis on business valuation; by 1992, he had earned the Accredited Senior Appraiser (ASA) designation in business valuation. He then earned the Certified Business Intermediary (CBI) designation in 1995, and Certified Merger & Acquisition Advisor (CM&AA) designation in 2008. He discontinued practicing in public accounting in 1994 when he formed Arne & Co., specializing in exit strategy planning for business owners, business valuations, business acquisitions & sales, business dispute mediation, part-time CFO services, and developer of business training seminars. 

Email  |  Website  


Jean D. Sifleet, Esq.
Business Attorney and Creator of Smart Fast®  ~  Massachusetts
Jean began her career with big law and accounting firms. She did a stint in state government, and then moved to the computer and communications industry. Frustrated with bureaucracy, Jean co-founded and sold two successful companies.  Today, Jean practices business law. She enjoys working with people who are starting a company, or who want to grow their company and stay out of trouble. Her advice is grounded in her first-hand experience as an entrepreneur as well as her knowledge of law, finance and management.  Calling herself a nontraditional lawyer, Jean uses Smart Fast®, a practical and systematic approach to evaluating options and making informed decisions. 

Email  |  Website


Ron Johnson
Chairman, ABI Business Sales, Mergers & Acquisitions  ~  California
Ron is Chairman of ABI Business Sales, Mergers & Acquisitions, which was established in San Ramon, CA, in 1984. Ron has been the intermediary in over one hundred transactions since entering the profession in 1991, and has managed, for his associates, many hundreds of additional transactions. Ron is well recognized nation-wide in his profession, having served 10 years on the Board of Directors of the California Association of Business Brokers (CABB), including two terms as President of the CABB.

Email  |  Website


Ralana Shelley
Certified Business Intermediary, Sunbelt  ~  Indiana
Ralana comes to the table with over eight years of experience in the Business Brokerage industry. Prior to making the transition to Business Broker, Ralana specialized in Marketing small to mid-sized businesses in the Indiana marketplace in her role as Marketing Manager for Sunbelt. 

Email  |  Website 1  |  Website 2  |  Website 3  |  Blog  |  LinkedIn  |  Twitter


Rose Stabler
Certified Business Brokers (CBB), Managing Partner ~  Texas
Rose has 25 years of business experience from serving in management and consulting positions in the Oil & Gas, Biotechnology, and Manufacturing industries to working for private equity giant Forstmann Little & Company to starting, building and selling an online promotional product firm that featured her own line of items. Rose serves as business advisor on the Houston Business Show on CNN650 and appears regularly on the Movers and Shakers panel discussion segment of Houston Manufacturers Show. Rose has published many articles about the process of buying and selling businesses and has contributed to Inc. Magazine. 

Email  |  Website 1  |  Website 2  |  Website 3  |  Blog


Wayne Quilitz
Murphy Valuations, President ~  Florida
Wayne's experience includes 28 years in electrical engineering and marketing in the electronics industry.  He served in the U.S. Navy, worked for Boeing Aerospace and Texas Instruments, and owned/operated a retail store for five years before joining Murphy Business and Financial Corporation.

Email  |  Website 


Richard L. Kolman
Franchise Note Buyers, LLC, President & Principal Owner ~  San Diego, CA

Richard has long served as trusted in-house legal counsel for some of the nation’s leading franchising companies. Rich began his franchise legal career in 1988 as a Corporate Attorney in the Legal Department of McDonald’s Corporation. He recently retired from the UPS Legal Department, following eleven years as Senior Franchise Counsel for The UPS Store and Mail Boxes Etc. (4,400+ franchises).  Despite the current adverse national economy, Franchise Note Buyers and its strategic underwriters bring unparalleled access to large sums of liquid capital needed to quickly fund numerous Franchise Notes at top-dollar prices.

Email  |  Website  |  Blog 


Bill Martin
ABMI, USBIZCORP and USFRANBIZ Founder  ~  Missouri

Since starting as an agent in 1982, Bill's career has included the building of business brokerages from scratch in over 20 cities coast to coast.  He is the founder of United States Business Brokers, Inc (USBIZCORP) and USFRANBIZ, Inc.  Bill has been involved in the sale of almost 4,000 different business acquisition transactions. He has also had articles and opinion memo’s published in trade publications, and is a nationally recognized trainer and mentor in the business brokerage industry.

Email


Russell Robb
Managing Director, Tully & Holland, Incorporated ~ Massachusetts

Russell Robb is a 20-year veteran in the mergers and acquisitions business, providing investment banking and corporate finance advisory services to a wide range of middle market companies. His transaction experience includes numerous companies in the consumer products industry, as well as a broad array of other manufacturing and distribution companies in various industry sectors. Russ is the past president and owner of two sporting goods manufacturing/retail companies. He is a published author of Selling Middle Market Businesses and the former editor of a highly regarded monthly M&A industry newsletter. 

Email


Len Krick
Sunbelt Owner, CBI, M&AMI ~  Las Vegas, NV
Len, owner of the Sunbelt Las Vegas office, is a Certified Business Intermediary ("CBI"), a Merger & Acquisition Master Intermediary ("M&AMI"), and holds a Nevada Real Estate Broker License. He has over twenty years of business and business consulting experience and is an active member, moderator and speaker for the International Business Brokers Association ("IBBA"), the Las Vegas Business Forum, and the Las Vegas CFO Group.

Email  |  Website


Ted J. Leverette
"Partner" On-Call Network, President 
Ted, The Original Business Buyer Advocate ®, has consulted with thousands of business buyers and owners on buy/sell, valuation and business improvement since 1974. Since 1993 he has taught affiliates in the USA and Canada, who independently own and operate their consulting practices, The Street-Smart Way to Become a Business Consultant™. He has been a lecturer for trade associations and author of texts, articles and the book, How to Get ALL the Money You Want For Your Business Without Stealing It™.

Email  |  Website


Ed Teixeira
FranchiseKnowHow, LLC ~  New York
Ed is the founder and President of FranchiseKnowHow, LLC a franchise-consulting firm. Ed has worked in the franchise industry for thirty years and has served as a corporate executive for firms in the retail, manufacturing, healthcare and technology industries. He has been involved with over 1,000 franchise locations and has transacted international licensing in Europe, Asia and South America. Ed is the author of Franchising From The Inside Out.

Email  |  Website


Jeff Fabian
Fabian, LLC ~  Baltimore, MD
Jeff is founder of Fabian, LLC, a boutique law firm headquartered in Baltimore, Maryland that provides trademark and copyright protection and contract drafting and negotiation services for businesses, artists, entertainers and athletes. He has published scholarly articles on trademark use in the Internet context and state franchise relationship laws, and has co-authored numerous articles appearing in various legal, business and industry publications.

Email  |  Website 1  |  Website 2  |  Twitter 


George D. Abraham
Business Evaluation Systems, CEO 
George has been involved in the transfer of over 450 businesses and performed over 12,000 appraisals in the past 32 years. Two of the appraisals Mr. Abraham was involved in passed the scrutiny of the World Bank. His company was the first in the nation to develop and gain national attention for its unique and highly accurate business evaluation software programs.  George is a licensed Real Estate Broker, Real Estate Appraiser, Business Appraiser, Machinery and Equipment Appraiser, Board Certified Business Broker, Certified Environmental Inspector, Certified Business Intermediary, Licensed State Property Tax Consultant, Accredited Review Appraiser, and Certified Business Counselor.

Website


Clyth MacLeod
Clyth MacLeod, Ltd. Managing Director ~ New Zealand
Clyth has over 40 year's experience in business broking and business valuation. yth is also a director of Business Appraisals Ltd (business valuers), BizStats Ltd (a national database of business sales information) and Australasian Business Valuations Ltd (consultancy).As well as authoring many articles and texts Clyth has lectured nationwide and overseas on business sales and valuation for many organisations including the Institute of Chartered Accountants of New Zealand and the International Business Brokers Association in the USA. The only business broker to be awarded a Life Membership by the Real Estate Institute of NZ and a Fellowship by the International Business Brokers Association he remains active in the industry and committed to leading a professional team.

Website


Jack R. Sanders
Spectrum Corporate Resources, LLC Managing Director
Jack has been an active full-time business intermediary since 1985. He has personally handled over 130 business transfers and has appraised over 1,450 businesses. He is also the author of the “BIZCOMPS®” studies, a leading authority on the market value of small and medium business in the United States and Canada. The studies contain actual transaction information on over 12,000 transactions and are marketed in both print and electronic form. Jack is also an instructor in educational courses leading to the Certified Business Intermediary designation.

Website


Christopher George
George & Company, President ~  Worcester, MA
Christopher is a Certified Business Opportunity Appraiser, Company President, and also a past president of the Association of New England Business Brokers. Chris has been engaged in the appraisal, sale and financing of small to mid-sized businesses since 1971. He has personally aided buyers & sellers in thousands of sales and appraisals.

Email  |  Website  |  LinkedIn  |  Facebook

 


Roger Murphy
Murphy Business & Financial Corporation, President / CEO ~  FL
Roger is a Certified Business Intermediary and Master Certified Business Counselor with over 25 years experience in executive management and financial management. He is the President / CEO of Murphy Business & Financial Corporation, one of the largest and most successful business brokerage firms in North America with business brokers located throughout the United States and Canada. Murphy Business specializes in businesses for sale, franchises, business valuations, and commercial real estate.

Email  |  Website 


Amanda Puppo
MarketReach Inc., CEO & Founder  ~  Lawrenceville, NJ

During her dealings with various companies, Ms. Puppo became aware of an apparent general aversion towards the application of the cold-call, while at the same time, realizing its importance in business. In March, 2001 at the age of 26, Ms. Puppo created MarketReach Inc. MarketReach does cold-calling/lead generation and market surveys, so clients can spend their time building their business and servicing their customers. MarketReach was named a Finalist in the Most Innovative Company category in The 2004 Stevie Awards for Women Entrepreneurs. 

Email  |  Website   |  Twitter

Business Brokerage Press   |   PO Box 218   |   Wilmington, NC 28402   |   Phone 800.239.5085   |   Fax 800.317.7013   |   info@bbpinc.com

dummy