Monthly Archives: January 2015

Business Buying Process

Get the simplified business buying process explained from experts in business acquisition.

The Business Buying Process Explained

Many people looking to purchase a business are doing so for the first time. Maybe you have experience at starting your own business from the ground up, but buying a business is a completely different process with a unique set of requirements.

Buying a Business in 8 Steps

Hire a Broker. Yes, you can buy a business without the help of a broker, but it is a complicated undertaking made  much more manageable with the help of a qualified professional. They’ll do most of the difficult work for you: prescreening businesses, helping match you with businesses that meet your interests and goals, assisting you with paperwork, and the toughest part–negotiating with the seller. If you’re considering purchasing a business in Florida, contact the experts at Emerald Coast Business Brokers to get moving in the right direction.

Identify the Business. In many cases prospective business owners have an idea of a location,  industry, and specific businesses they’re interested in. If you don’t, you’re not alone. Business brokers specialize in matching you with businesses that are a good fit.

Sign a Confidentiality Agreement. Once you have identified a business to purchase, both you and the seller will sign a confidentiality agreement. This agreement ensures discreetness throughout the entire process. In most cases, the business’ employees and customers are unaware of the pending business sale, so a confidentiality agreement helps a seller proceed with confidence.

Review the Business. This is the process through which you (with the direction of your broker) will analyze the business to make certain it meets expectations and goals. During this phase, you will examine records and ask all questions you have about the business. This is typically where you will have financial advisors, attorneys, etc., assist.

Negotiate. This is the phase where an unbiased broker is most needed. Both parties will work to negotiate the terms of the sale–including price and additional terms of the takeover, including exclusivity periods and any training required after the transfer.

Make an Offer. A written offer is required to purchase a business–and in many cases this should come in the form of a purchase agreement or contract of sale in order to keep the seller from entertaining other offers (and to encourage the buyer to take your offer seriously). Normally once the offer is accepted, a deposit is required.

Due Diligence. After the seller has accepted your offer, before you prepare closing documents, you will perform due diligence. This involves reviewing the last three years of financial statements, including tax statements, monthly expense reports, balance sheets, cash flow statements, and employee records. The more records you are able to review, the more successful you will be at due diligence. Once you are satisfied with the details of the business, you can move to preparing the closing documents.

Complete the Deal. Your broker will assist in making certain all parties involved (lawyers, accountants, etc.) are pleased with the paperwork prior to closing.

Is the business buying process really that easy?

While buying a business is a complicated process, with experienced brokers on your side, success is definitely attainable. Emerald Coast Business Brokers will walk you through purchasing an existing business from start to finish. Contact us for help through the process.

 

 

Business Ownership

Business ownership in today’s market can be stressful. The experts at Emerald Coast Business Brokers can help you manage the buying and selling process.

Own your own business along Florida’s Emerald Coast

What better place to take on the adventure of business ownership than in one of the beautiful coastal towns along Florida’s Emerald Coast? The area has so much to offer! And if that is the direction you are interested in going, there are some great questions to ask before you start your search:

  • How do I find a quality business that matches my requirements?
    Of course, before you can answer this question, it’s important to first identify your requirements. Where do your interests lie? What type of business would make you want to get out of bed in the morning? Do you have an expertise? What type of atmosphere do you prefer? You may already have a business in mind, but if you need assistance determining your requirements, a business broker can help. And once you know the type of business you’re looking for, a Business Broker will help you find a business that matches your requirements through their database of business listings.
  • What is that business really worth, and how much financial information can I get from the owner?

If you’re serious about buying the business, part of the Due Diligence process includes access to all financial information – this, of course, is to help ensure you are making a sound financial decision. And this is another place where a qualified business broker is ideal.

  • What strategy should I use when making an offer?
    Naturally you will want to buy a business at the relatively lowest cost to you, which requires strategy, good planning, knowing your local market, and knowing how to trade intelligently. Your business broker will help you identify the best strategy.
  • Do I need an accountant or an attorney involved in the purchase?
    In almost every case, yes. A prospective business owner will work with a team that consists of attorneys, bankers, CPAs and insurance companies to complete the business transaction. Your business broker will guide this team.

 

What exactly will Emerald Coast Brokers do for me?

The Emerald Coast Team is made up of well-educated, accomplished professionals who not only know the ins and outs of buying and selling a business, they are also well-acquainted with the local market. Here’s what you can expect:  

 

  • We’ll pre-screen businesses to help you avoid unnecessary risk.
  • We’ll handle negotiations on your behalf.
  • We’ll help ensure all necessary paperwork is completed in a timely manner.
  • We’ll be your expert on the local market.
  • We’ll coordinate efforts between CPAs, financial institutions, attorneys, insurance companies, etc.

 

Places that Emerald Coast Brokers serves

The gorgeous Emerald Coast is perfect for vacationing, but it’s also an amazing place for business ownership. If your dream is to own a business here, the Emerald Coast Team can help you find a business in these areas:

 

 

Have a location in mind that isn’t listed? Let us know! We can service all of Northwest Florida and beyond.

 

If you have questions about business ownership along the Emerald Coast, contact the professionals at Emerald Coast Business Brokers today! We look forward to helping make your dreams come true.

 

 

Businesses For Sale

If you are looking for businesses for sale in North Florida, learn about possibilities and find out how to buy a business.

North Florida Businesses for Sale

Sure, you can buy a business anywhere. But the Emerald Coast area of North Florida is an ideal place to live and work; it’s the prime location to look for businesses for sale. If you have spent much time researching, you’ve read that buying an existing business is typically better than starting one from scratch. Banks are more likely to lend money to buy an existing business that’s for sale, rather than give startup funds for a business idea. But how do you find businesses for sale in Florida, and how do you go about buying a business?

Types of Businesses for Sale

Basically any type of business you can imagine can be bought and sold. Examples of businesses for sale that you may consider are auto mechanic shops, restaurants, hotels, pool companies, computer businesses. In Florida, if you can dream it up, you’ll probably find a business for sale that matches those dreams.

Businesses are put on the market for a variety of reasons. The owner may want to retire, start a new business, or relocate to a new city. When they want out of the business, they list their business for sale with reliable business brokers, such as those at Emerald Coast Business Brokers.

Brokers like the Emerald Coast Team list businesses for sale, then market them to potential buyers. Similar to how a real estate agent would show properties to meet unique needs and budgets, business brokers can show you a variety of businesses for sale and work to help you meet your goals.

In the North Florida area, we have typical businesses you would find around the country, along with many more tourism-centered opportunities. You can also find businesses that meet the needs of local residents, like gyms, spas, and tanning salons.

How to Locate and Purchase Businesses for Sale

At Emerald Coast Business Brokers we prescreen businesses for sale, and then we work to match your interests, skills and goals with businesses that are listed for sale in the areas you are interested in. To begin your search for the perfect business opportunity, contact one of our experienced advisors today.

Buying a Business in Florida

Florida is the right choice for business ownership!

After spending year after year vacationing in North Florida, then finally making it home, I can say with confidence that buying a business in Florida is one of the best decisions you’ll make. There aren’t many other locals in the US where you can experience beautiful weather year-round, a booming tourism industry, and a thriving real estate market and economy (not to mention amazingly gorgeous sugar-white beaches) all in one place.

 

So my first words of advice are, “go for it!”

 

Once you’ve decided that Florida is the place, the next step is to find a business broker to guide you through the process. And you don’t want just any business broker. You want one you can communicate with directly, someone who knows the market well, and most importantly, someone who clearly understands your interests, goals, strategy and expectations.

 

Emerald Coast Business Brokers is that team.

 

At the beginning of the process of buying a business in Florida, the advisor who is assigned to you will determine your needs by asking several questions including:

 

  • Why do you want to buy a business?
  • What type of business would you like to buy?
  • What prior experience do you have in managing a business?
  • What has been your career path?
  • Is there anything you’ve always wanted to do that doesn’t feel like work?
  • How long do you plan to own the business?
  • How do you plan to finance the business?
  • What is your purchase timeline?
  • What is your ideal location for owning a business?
  • What size businesses are you interested in buying?

 

With this information, we can then help you discover potential businesses that meet your needs. Once you identify a specific business that you are interested in, we will then walk through the important process of evaluating the business. Through this process we will provide things like financial records for review, a list of assets and inventory, property and equipment lease agreements (and related documents), loan and debt schedules, service contracts, key vendors, and key employees.

 

As you can see, buying a business in Florida can be a complicated process, but it is certainly made easier through the expertise of a qualified business broker who is familiar with the market.

 

If you have questions about buying a business in Florida, or you are ready to get the process started, contact us today for a confidential consultation. We look forward to helping you make your dreams come true!