Insights

How Does Working Capital Factor into the Purchase or Sale of a Business?

As a buyer, you are excited about the opportunity to purchase a business and confident you have enough money for its purchase. But do you have enough money to keep it "working?" If you plan to grow the business, do you have enough working capital to fund its growth? Growing businesses require more working capital than shrinking businesses as receivables are growing.
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How Entrepreneurship Benefits Kids

Raising kids doesn’t come easy. Neither does running your own business. Both provide significant life lessons and great rewards. So, what about combining the two? No, I don’t mean raising kids AND running your own business. Many of us do that already. I mean having your kids run their own business. Or at least learn the ropes of what being in business means.
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Get the Price Right When Selling Your Business

Proper pricing is a must when you go to sell your business. And that means an asking price that is reasonable and correct. A reasonable asking price should factor the true earnings of the business and what the market is willing to pay. Business patterns, systems, competition, markets, quality of service or product, staff and operational factors are all predictors of future earnings that need to be taken into account.
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Much Loved and Respected, Ron Greeley Leaves Big Shoes to Fill

Sunbelt and the Montreal Business Community have lost a great friend - Ron Greeley has left us too soon, taken by cancer on February 12, 2016. Ron, who worked in the Montreal West Island office of Sunbelt Business Brokers, was much loved by his peers and respected and appreciated by his clients. He leaves big shoes to fill and will be much missed by all of us at Sunbelt.
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Fiscal Fitness: 20 Reasons for Mid-Size Companies to Acquire Smaller Firms

In a recent 2015 post, I noted that more mid-sized businesses in the Canadian market are turning to complementary acquisitions with fold-ins or add-ons that allow the buyer to add on the revenue of the acquisition without the costs the seller (and their smaller business) had. As we enter the New Year with renewed resolve and resolutions, I've been asked to say more about these financial benefits.
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Baby Boomer Sellers – Only in Canada… Pity

Flynn notes that in the U.S., "business for sale listings (mostly Main Street and often with less than $500,000 annual revenues) on the major transaction sites, as well as the middle market business brokerage firm listings are down in almost every North East state we track compared to five ago." Yet "the 2013-15 period was predicted to be the peak of the baby boomer selling boom."
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Into the Fold: Acquisitions and the Financial Benefits of Fold-Ins

In early December, the Wall Street Journal proclaimed 2015 the biggest year ever in the U.S. for mergers and acquisitions. At home, Canadian companies have been turning their attention to the domestic market with 66% of respondents in an October Ernst and Young Global Limited survey identifying the Canadian market as their primary focus for M&A. Some 57% were focused on cost reduction and operational efficiency - up from 31% one year prior - consistent with what our offices are seeing.
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