Which Electrical Business Add-Backs Will Buyers Accept?
Add-backs can materially affect the estimated value of an electrical business, but sellers should not assume that every expense identified as personal, discretionary, or nonrecurring will be accepted by a buyer. In smaller owner-operated transactions, buyers may recognize a broader range of legitimate adjustments when calculating Seller’s Discretionary Earnings, or SDE. In larger transactions, buyers […]
Electrical Business Valuation Florida
If you own an electrical contracting business in Florida, one of the first questions you may ask is, “How much is my business worth?“ Whether you’re planning to sell in the next year, preparing for retirement, bringing on a partner, or simply curious about your company’s value, understanding how buyers evaluate electrical businesses is the […]
Electrical Company EBITDA Multiples Florida
EBITDA multiples are one of the most common tools buyers use to estimate the value of established electrical contracting businesses. While revenue often attracts attention, sophisticated buyers focus on the company’s ability to generate sustainable earnings. EBITDA provides a standardized way to evaluate those earnings and compare one business with another. There is no single […]
Selling a Family-Owned Plumbing Company
Selling a family-owned plumbing company is rarely just a financial decision. For many owners, the company represents decades of hard work, family sacrifice, trusted customer relationships, and a reputation built one service call at a time. The business may carry the family name, employ relatives, and support employees who have been part of the company […]
Selling a Business During Divorce or Partnership Dispute
Business ownership can be one of the most rewarding accomplishments an entrepreneur achieves. Unfortunately, life doesn’t always go as planned. Divorce, disagreements between business partners, shareholder conflicts, and family disputes can quickly turn a thriving company into a source of uncertainty. In many cases, selling the business becomes the most practical solution for protecting the […]
Quality of Earnings (QoE) Report-Insights Every Business Buyer and Seller Should Know
Quality of Earnings Report: What Business Buyers and Sellers Should Know A quality of earnings report, commonly called a QoE report, examines the financial drivers behind a company’s reported earnings. It helps transaction participants evaluate recurring performance, proposed earnings adjustments, and financial risks. Depending on the agreed scope, the engagement may also address working capital, […]
Strategic Buyer vs Financial Buyer
Strategic Buyer vs Financial Buyer: Understanding the Two Most Important Types of Business Buyers Selling a business is one of the most important financial events in an entrepreneur’s life. Yet many owners begin the sale process without fully understanding the difference between a strategic buyer and a financial buyer. That lack of knowledge can lead […]
What Lowers Business Valuation
Business valuation usually falls for one of three reasons: normalized earnings decline, buyers apply a lower valuation multiple because risk increases, or both happen at the same time. Common factors include declining revenue, shrinking margins, unsupported add-backs, customer concentration, owner dependence, weak management, poor financial records, limited recurring revenue, lease problems, and legal or compliance […]
Why Businesses Fail to Sell
Why Businesses Fail to Sell: A Business Broker’s Real-World Experience Most business owners believe that if their company is profitable, it will eventually sell. Unfortunately, that assumption is often wrong. After years of working as a business broker, I’ve learned that many businesses never actually make it to the closing table. Some fail during due […]
How to Successfully sell accounting practice
Strategies for Successfully Selling Your Accounting Practice You have spent years, perhaps decades, building your firm. You have nurtured client relationships, navigated endless tax seasons, and adapted to constantly changing financial regulations. However, a time inevitably comes when every founder must look toward the future and think, “It is time to sell my accounting practice.” […]