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Working Capital Matters in M&A Transactions

As a business owner, you know what working capital is, even if you rarely use the term. Working capital is the day-to-day cash that a company needs to run business operations. It is the difference between a company’s current assets and its current liabilities. Working Capital = Current Assets – Current Liabilities Different industries vary […]

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Understanding and Building Your Business Credit

When we wrote about increasing the value of your business, we compared it to increasing the value of your home. There are also similar parallels when we talk about credit. If you are thinking about purchasing a home, one of the most common pieces of advice you will hear is to check your credit score […]

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Key Differences: M&A Advisors vs. Business Brokers

If you’ve felt confused about the differences between a business broker and a merger and acquisition (M&A) advisor, you aren’t alone – particularly in the middle market. Over the course of owning and growing a business, it’s not unusual for an owner to interact with both types of professionals. That said, understanding the key differences […]

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Never Overlook Your Accounting Processes

We’re often asked, “What can we do to get our business ready to sell?” and “How can we make our organization look attractive to buyers?” There are many answers to those questions (and we’ve written about some in the past here and here), but often the simplest answer is the most overlooked. Make sure your […]

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Post-Transaction: What is a 100-Day Plan?

A statistic commonly shared in our industry is that between 70 and 80 percent of all mergers and acquisitions fall short of delivering anticipated value. This isn’t necessarily because they were a bad fit or because the transaction negotiations were subpar. Rather, most experts would say that this value is lost in the first 100 […]

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What is an “Add-On” Acquisition Strategy?

As a business owner, a key part of preparing to sell your business is being able to look at your company through a potential buyer’s eyes. What is the buyer looking for? What are they trying to accomplish? And perhaps most importantly, why (or why not) would your business look attractive to them? As we’ve […]

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Business Valuation 101

At some point over the course of owning your business, you’ll ask the question, “But what is my business worth?” The answer, of course, is “It depends.” In this post, we’ll give you a quick rundown of some of the most common ways to value a business. In practice, no method is perfect, and that’s […]

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Year-End Macro View

2021 is poised to close on an exciting note. U.S. private equity deal-making is on pace to eclipse $1 trillion before the end of the year, according to a report by PEHub.com and data from Pitchbook. Here are some of the big takeaways we’re paying attention to: Inflation is there, but likely ok for many […]

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Eyes on Tax Reform

Like many Americans in the business community, we try to stay on top of tax reforms and how they affect our industry. As 2021 comes to a close, several key tax rates were just released that significantly impact high-income and/or high-net-worth taxpayers and all business owners. 4 key tax updates 1. Capital gains tax. For […]

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