Saturday, December 9, 2017

P.R. Firm seeking Equity Partner

Public Relations Agency
#1 South Florida P.R. firm headed by Industry Guru seeking Partner to Grow Business. This company has expanded into Digital Marketing, Talent Agency, and Product Placement and is seeking Equity partner to expedite expansion . Key staff will stay with company. Plan includes opening office in New York to engage former Fortune 500 customers. Great opportunity for right organization to Grow. See more details at: www.southfloridaforme.com/BUSINESSES-FOR-SALE/PUBLIC-RELATIONS
Do you have a Business for Sale or Seeking a Partner in South Florida? Learn how our Concierge Business Brokerage can assist you

Wednesday, December 6, 2017

How much is your Business worth?

How much is your Business worth?

If you are selling a business in Florida, or considering taking in an equity partner there are norms that we have found for valuations based on the sale of businesses in Boca Raton, West Palm Beach, Fort Lauderdale and Miami. As Florida Business Brokers we have seen business for sale listings in Florida range from being priced well below market to those that never get sold because they are priced above what a reasonable buyer for a business would pay. To see how your business compares to other businesses please 

There are many businesses for sale in Boca Raton, West Palm Beach, Fort Lauderdale, and Miami and we ensure that your business will be priced for a quick sale.
There are several steps that can be taken to ensure that you maximize the valuation of your business for sale in South Florida.

1. First, Gather all of accounting documentation, including balance sheets and income statements for the previous five years if possible. Bring all of your books current to the month you are valuating your business. Gather your personal income tax documents for the same time frame.
2. The next step that Business Brokers of South Florida   calculates is your  "owner's benefit" from operations
3. We then begin applying a multiple to the Owners Benefit, which usually ranges between 2-3 times the owner benefits in analyzing businesses in South Florida.
4. Finally, we create a Business Plan for your business, which not only adds value to the business, bus justifies price to a prospective buyer when they begin negotiating price.

The latest version of Pratt's Stats shows 2017 to be a year of the highest multiples for business sales in recent years with a multiple of 3.08 for businesses with sales revenuein the $1-5m range. The impact of the tax law change should drive the multiple up substantially for South Florida businesses for sale in 2018 and ensure that you are getting the most money for your your business.

To learn more about valuation of a business in Florida
How to Value your Business in Florida

Learn How Much your Business is Worth-Complimentary Consultation

Edward Sklar, Business Broker & REALTOR
South Florida for Me/United Realty Group
edwardsklar@southfloridaforme.com
561-504-9291
Business Broker South Florida for Me

Thursday, November 23, 2017

Business Broker South Florida: Buying a Business usingS.B.A. Financing



We wanted to wish all of you a very happy holiday and tell you how thankful we are for your partnership. We also want to make sure we are communicating any changes coming to our industry in a timely manner.

There has been a lot of chatter and confusion around changes in SBA lending coming in 2018. We have met with some of our top lenders as well as reviewed the details outlined on the SBA website and wanted to distill down information that pertains to our business. The changes outlined below will go into effect on January 1, 2018.
  1. Franchise Registry: The franchise registry will be managed and updated by the SBA. In order for a franchise to be approved for an SBA loan, they must be on the approved SBA Franchise Directory. All franchises must submit their franchise agreement and FDD to the SBA directly to be approved. The full list, as well as instructions for being included on the directory, is available here.
  2. 10% Equity Injection: The SBA will require a borrower to contribute no less than 10% of the total project costs for a start-up or change of ownership (acquisition) loan (there was no minimum in place by the SBA previously). Individual banks usually require a 20 – 30% equity injection, but it remains to be seen whether these standards will be lowered. We are communicating closely with our partner lenders to better understand how this might affect lending.
  3. Seller Debt cannot be considered Equity Injection. A seller note may not be used toward the 10% equity injection required from the borrower. We can still use seller debt to reduce the SBA loan amount, but the repayments will need to be factored into the debt service coverage ratio calculation by the lender. This change is most likely to have immediate implications, so we will be paying close attention to how lenders structure deals that include a seller note.
  4. Removed the 25% Equity Injection Rule when Goodwill exceeds $500,000. Equity injection requirements for business acquisitions will now be made at a lender’s discretion as long as they still comply with rule #2 above. We don’t expect a large change from the 20-30% we have been seeing.
Please feel to reach out to me should you have further questions regarding these changes. By working together, we will ensure you get the funding you need.

Have a wonderful Thanksgiving.




edwardsklar@southfloridaforme.com

Buying a Business using S.B.A. Financing

Buying a Business in South Florida using    S.B.A. Financing 





We wanted to wish all of you a very happy holiday and tell you how thankful we are for your partnership. We also want to make sure we are communicating any changes coming to our industry in a timely manner.

There has been a lot of chatter and confusion around changes in SBA lending coming in 2018. We have met with some of our top lenders as well as reviewed the details outlined on the SBA website and wanted to distill down information that pertains to our business. The changes outlined below will go into effect on January 1, 2018.
  1. Franchise Registry: The franchise registry will be managed and updated by the SBA. In order for a franchise to be approved for an SBA loan, they must be on the approved SBA Franchise Directory. All franchises must submit their franchise agreement and FDD to the SBA directly to be approved. The full list, as well as instructions for being included on the directory, is available here.
  2. 10% Equity Injection: The SBA will require a borrower to contribute no less than 10% of the total project costs for a start-up or change of ownership (acquisition) loan (there was no minimum in place by the SBA previously). Individual banks usually require a 20 – 30% equity injection, but it remains to be seen whether these standards will be lowered. We are communicating closely with our partner lenders to better understand how this might affect lending.
  3. Seller Debt cannot be considered Equity Injection. A seller note may not be used toward the 10% equity injection required from the borrower. We can still use seller debt to reduce the SBA loan amount, but the repayments will need to be factored into the debt service coverage ratio calculation by the lender. This change is most likely to have immediate implications, so we will be paying close attention to how lenders structure deals that include a seller note.
  4. Removed the 25% Equity Injection Rule when Goodwill exceeds $500,000. Equity injection requirements for business acquisitions will now be made at a lender’s discretion as long as they still comply with rule #2 above. We don’t expect a large change from the 20-30% we have been seeing.
Please feel to reach out to me should you have further questions regarding these changes. By working together, we will ensure you get the funding you need.

Have a wonderful Thanksgiving.


edwardsklar@southfloridaforme.com


Wednesday, November 22, 2017

Business Broker South Florida: Florida Business Sales-The New Norm

Business Broker South Florida: Florida Business Sales-The New Norm: As we start the Thanksgiving Holiday, and people are reflecting on Giving Thanks, I am sharing what I am seeing in the dynamic of why peopl...