Buying and Selling a Business for Wealth

Available in our e-library on M&A at IMAA!

Authors: Kevin Uphill, Alex McMillan

Publisher: Thorogood

Year: 2007, August

ISBN: 978 185418394

Content

This book explains how to start or buy, then develop and sell, a business in order to realize capital and personal wealth.
Here the authors show the owner how to achieve maximum income during his/her stewardship of the business, while planning for a sizeable business asset through a sale. Using case studies and detailed guidance, the book provides practical advice on how to create and improve capital value through various means, such as leadership, people, culture and branding.

Table of Contents

CHAPTER ONE – Wealth creation

• Financial wealth accumulation plan
• How is wealth created?
• Why do people buy or sell a business?
• Why you should work on selling your business

CHAPTER TWO: Business owner – Who dares wins…

• The owner/manager profile
• Risk management
• Passion for profit
• Improving skills
• Making it work
• Releasing the owner/manager investor within

CHAPTER THREE: Why sell? – Looking at the big picture

• Why sell? – your future
• Life cycles – what next?
• The five types of wealth
• The eternal entrepreneur
• The sale proceeds
• Retreat and think

CHAPTER FOUR: What is it worth? – The professional’s viewpoint

• The formula
• The multiple
• What multiple?
• What profit?
• Sale structure
• Asset and goodwill deals versus share transfers
• Revaluing the balance sheet (share transfers)
• The optimum purchaser, the optimum valuation
• Should I be selling?
• Art not science
• The valuation steps (a summary)

CHAPTER FIVE: A buyer’s guide – The good, the bad and the ugly

• Getting started
• Timing the purchase
• Researching and setting your strategy
• Sources of businesses
• Handling the seller
• Look for potential
• Staff meeting
• Due diligence checklist
• Potential purchase timetable

CHAPTER SIX: Business planning – Mapping the way

• Why you must write a plan
• What should be in your plan?
• Raising finance
• Types of finance and terms
• Planning tips
• From start to finish
• Business plan template

CHAPTER SEVEN: Adding value – Acorns into oaks

• Working on and in the business
• Adding value by the hour
• Stand out
• Create barriers to entry
• Pre-sale grooming
• Tips and techniques for adding value

CHAPTER EIGHT: Branding – The difference that makes the difference

• Examples of branding success
• Managing the brand
• Vive la difference!
• Invent a niche and market
• Listening

CHAPTER NINE… Leader/managers-Showing the way

• Leader/managers
• Invest in and retain people
• Motivating people
• Build a community (culture)
• Leader/managers in the real world
• Warning signs of when leadership is lacking
• Leadership on purchase
• Leadership succession

CHAPTER TEN : How to sell – Cashing in

• Cashing your chips in
• How to sell
• Using an intermediary and advisor to sell your business
• Choosing an intermediary (broker/advisor)
• Rules for finding and managing buyers
• Structure of the deal
• Tax and deal structures?
• The sale process – a summary
• Where next?

CHAPTER ELEVEN: Negotiate to win – Your money or your life!

• Negotiation game play
• Setting your strategy
• Objectives; yours and theirs
• Influencing versus persuasion
• Building rapport
• Strategic moves
• Strategic moves explored

CHAPTER TWELVE: In a nutshell

• Sample heads of terms
• Sample basic confidentiality wording
• Sample pre-due diligence questionnaire
• Glossary of mergers and acquisitions terms*

• What next?