• How to Do Due Diligence on a Small Business

    Posted by: Tawnya

    When buying a small business, it's essential that you know what it is that you're buying. Many small businesses are sold based on seller stated revenue and earnings figures and without delving into the financials to make sure the numbers are substantiated, a buyer can end up overpaying for a business that generates revenue much less than what was stated.

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  • How to Get the Higher Multiple when You Sell Your Business

    Posted by: Tawnya

    If a business in a specific industry is going to sell for 3 to 4 times earnings, what determines whether the buyer will be willing to pay the lower or higher multiple? In other words, if adjusted earnings are $800,000 and the industry multiple is 3 to 4 times earnings, what determines whether the buyer will be willing to pay $2,400,000 versus $3,200,000 for the business?

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