Transitioning a business from success to significance requires strategic growth and careful planning. Eastwind’s 5 Stages of Value approach provides a structured framework for business owners to enhance their company’s value, ensuring it is always valuable, transferable, ready, and attractive. This approach aligns the owner’s personal, financial, and business goals into a cohesive roadmap. Stage 1: Identify Value The first step is to pinpoint the business’s value drivers, including intangible assets. This involves a thorough examination of operations, market position, competitive advantages ..read more

Like many things in life, timing can be everything when it comes to selling your company. Every day more and more baby-boomers are now reaching retirement age. Soon, the market will likely be flooded with companies seeking to sell. According to a 2016 survey of business brokers, 54% plan to exit in the next ten years. We may be on the verge of a massive wave of businesses hitting the market. Getting out in front of that wave could be in your best interests. Now very well may be the time to sell. Are you Looking to Exit in 2-5 Years? The goal for this eBook is to provide you ..read more

In this article, we will explore the key differences between asset and share purchases, the various advantages and disadvantages for both parties involved, and the essential factors to take into account when deciding on the optimal structure for a successful acquisition. Share Purchase Vs Asset Purchase: The Definition Before delving into the two options, it is essential to define what an asset purchase and a share purchase entail. An asset purchase is a transaction in which a buyer acquires the assets of a selling company, including facilities, vehicles, equipment, and inventory. This type ..read more

Avoid These 4 Costly Mistakes When Selling Your Business Numerous businesses struggle because they fail to meet a genuine market demand. Shockingly, nearly a third of business failures result from cash flow depletion. If your business is edging towards financial challenges, perhaps a new owner could inject new life into it. To ensure a smooth transition and growth under new ownership, it’s vital to avoid common pitfalls. When selling your business, gathering insights from seasoned professionals is essential. Continue reading to learn these 4 Costly Mistakes When Selling Your Business. Failu ..read more

4 Reasons Deals Fall Apart In many cases, the buyer and seller reach a tentative agreement on the sale of the business, only to have it fall apart. There are reasons this happens, and, once understood, many of the worst can be avoided In a survey of business brokers across the USA and Canada, similar reasons were cited so often that a pattern of causality began to emerge. The following are 4 situations and factors affecting the sale of a business. The Seller Fails To Reveal Problems When a seller is not upfront about problems of the business, this does not mean the problems will go away. Th ..read more

Return on Assets (ROA) is a critical financial metric that measures a company’s efficiency in generating profits from its assets. A higher ROA signifies better asset utilization and operational efficiency, which can significantly enhance a business’s value. So, how can you increase your ROA to maximize your business value? Let’s look into some effective strategies. Optimize Asset Utilization Efficiently utilizing your assets is key to improving ROA. Identify and eliminate any underperforming or idle assets that are not contributing to revenue generation. Implement asset management strategi ..read more

Selling a business can be a complex process, often marked by negotiations, due diligence, and valuation assessments. At the heart of this transaction lies a crucial distinction: the difference between the sale price and the actual value of the business. While these terms might seem interchangeable, understanding their disparities is fundamental for both buyers and sellers. Let’s delve into the nuances of sale price versus value when selling a business. Defining Sale Price and Value:          – Sale Price: The sale price is the actual amount agreed upon between the ..read more

Selling your business is like embarking on a challenging hike through unfamiliar terrain. Just as hikers rely on their knowledge and preparation to avoid dangerous pitfalls, you must steer clear of costly mistakes to ensure a smooth and profitable sale. Here are four key mistakes to avoid, illustrated by an analogy to hiking, supported by industry statistics: Failure to Plan Ahead: Imagine starting a hike without a map or proper equipment. Similarly, waiting too long to plan your business sale and neglecting to create a comprehensive strategy can leave you unprepared for the challenges ahe ..read more

10 Factors That Will Determine Your Multiple: Selling your business is a significant decision that involves careful consideration of various factors. One crucial aspect of the selling process is determining the multiples, which play a pivotal role in assessing the value of your business. In this blog post, we will explore 10 key factors that influence the multiples your business can command in the market. Industry Trends: Understanding the current and future trends in your industry is vital. Buyers often assess how well your business aligns with industry growth, innovation, and demand. Fin ..read more

Many small business owners dream of a comfortable retirement funded by the value of their business when they exit. However, relying solely on hope without a concrete exit plan can lead to disappointment and financial insecurity. In this article, we’ll explore why hope is not a reliable strategy for business succession and why you need more than wishful thinking to secure your future. The Pitfalls of Hope: While optimism is essential for entrepreneurship, it’s not enough when it comes to planning for the future of your business. Hoping for a successful exit without a strategic plan in place ..read more