Wednesday, August 24, 2016
Top Entrepreneur News

Wed, 24 Aug 2016 13:00:00 -0500

Now that we have your attention, consider the principle of delayed gratification and demanding more of yourself.

Wed, 24 Aug 2016 12:30:00 -0500

You have your budget in place, a cash cushion built and a retirement fund set up -- now what?

Wed, 24 Aug 2016 12:00:00 -0500

You can help employees develop better skills but attitude is something they need to have all on their own.

Wed, 24 Aug 2016 11:30:00 -0500

In honor of National Simplify Your Life Week, get organized, and simplify your life.

Wed, 24 Aug 2016 11:18:00 -0500

This founder started with $18,000 in his bank account. Now he runs a $4.5 million fast-casual-food brand.

Wed, 24 Aug 2016 11:01:00 -0500

Glassdoor has released findings of a new study examining what shapes employee satisfaction and ultimately, CEO approval ratings.

Wed, 24 Aug 2016 09:00:00 -0500

This entrepreneur turned an unsexy subject into a successful business.

Wed, 24 Aug 2016 09:00:00 -0500

There are many good strategies for pitching news and creative pieces, but there are additional measures you should take when you go after a dream website or publication.

Wed, 24 Aug 2016 09:00:00 -0500

May the help-desk ticket rest in peace.

Wed, 24 Aug 2016 09:00:00 -0500

He bet his retirement. Now he runs a multi-million dollar business.

Wed, 24 Aug 2016 09:00:00 -0500

Focus on what you do know -- and can do well.

Wed, 24 Aug 2016 09:00:00 -0500

Collaboration for these founders is professional and personal.

Wed, 24 Aug 2016 09:00:00 -0500

He'd never make the team, but he's still a major player on the court.

Tue, 23 Aug 2016 22:00:00 -0500

Having employees apply innovative thinking outside of the scope of their daily functions benefits both employees and employers.

Tue, 23 Aug 2016 21:00:00 -0500

Work smarter in order to achieve long-term growth as a marketing professional.

Wed, 24 Aug 2016 10:58:00 -0500

You don't have to go far to find people claiming that the War on Poverty was fought and lost. This criticism comes from both sides. Conservatives say that trillions have been spent and yet the poverty rate is the same as it was. Left liberals point that the poverty rate [...]

Wed, 24 Aug 2016 03:05:00 -0500

Heather Bresch may have made even more than that in 2014.

Wed, 24 Aug 2016 02:10:00 -0500

Smackdown was packed with huge news for the Backlash pay-per-view. Dean Ambrose has an opponent and there's new gold for the Blue Brand.

Tue, 23 Aug 2016 21:27:00 -0500

The brainchild of industrial innovator Charles Bombardier, the Solar Express is designed to ferry goods and passengers between celestial bodies and space stations traveling at up to 1% the speed of light.

Tue, 23 Aug 2016 20:29:00 -0500

Eliminating formal employee evaluations was supposed to be a much-anticipated improvement. Instead, a new study finds it can harm performance. Suggestions to make an evaluation-free environment more productive.

Tue, 23 Aug 2016 20:28:00 -0500

After Seth Rollins' powerbomb resulted in an injury to Finn Bàlor at WWE SummerSlam, House Money Studios bre Bret Hart have a case about the former WWE World Heavyweight champion being reckless?

Tue, 23 Aug 2016 18:22:00 -0500

Sometimes staying positive is easier said than done. Here’s 3 powerful ways to reap the health and performance benefits of a positive attitude.

Mon, 22 Aug 2016 16:25:00 -0500

John Cena left his arm band in the middle of the​​ ring following his SummerSlam instant classic with AJ Styles. House Money Studios' Alfred Konuwa examines if this signifies Cena phasing himself out of full-time WWE competition.

Sun, 21 Aug 2016 13:00:00 -0500

Somewhere, right now, a cash-strapped parent or budget-limited patient with a severe allergy will skip acquiring an EpiPen.

Sat, 20 Aug 2016 22:10:00 -0500

Has Apple just cancelled the most exciting new iPhone 7?

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Chaldeans Buying Businesses Need to Beware
By Bedre Konja :: Monday, January 28, 2008 :: 14988 Views :: Article Rating :: Business & Finance

Chaldean entrepreneurs will mostly agree that buying a business is not simple; in fact, it is almost similar to starting a new venture. The struggle of finding a business that matches your capabilities and investigating the business potential to remain profitable is just the beginning.  Buying a business requires the same thoroughness as creating a business plan for starting a business. 

Edward Putrus, owner of West Coast Electrical Warehouse Supplies in Arizona says the ability to make a good business great is different than creating a new business.  Anthony Jurjus, an associate partner in the firm Rosen, Russel, and Silverman Consulting, PLC is a commercial real estate agent and business broker who often helps Chaldeans in finding and buying businesses.  “Anyone buying a business needs to do be careful, have a strategy, be patient, and persistent,” says Jurjus. 

Jurjus suggest Chaldeans follow a 10-step process in guarantying the business they buy is the right one. 

1. Like the start of a business plan, the business for sale must match the personal and financial objectives of the buyer.  It is important that the personal and financial goals are written out before you begin your search. The Business Playbook should include a "target business profile,” listing a set of specific criteria for what you expect, what you are willing to invest, the acceptable level of risk, the minimum expected return, and the time you can devote to learning and managing the business. 

2. It is important that Chaldeans locate business opportunities with the potential to grow and offer an attractive return on investment. Finding these potential opportunities can be difficult.  Places to look include reading classified advertisements, networking in the community, discussing opportunities with business brokers, spreading the word throughout the community that you are looking for a business, and checking industry sources. Resist the temptation to buy the first business that looks good; step back and look at it objectively.

3. Always make an appointment to see the business sellers or brokers for an initial introduction to the opportunity.  Ask that they provide you with brief financial reports, history, price, and reason for sale. This will allow you to know more about the business, how long it has been for sale and the financing adjustments that need to be made.

4. If the information they give looks good and the business seems to be sound, be sure to request for additional meetings to probe for more information. It is important to look at a business at different angles.

5. Review the facility closely to determine how well it has been managed and maintained. For service businesses, talk with the employees and even customers.  You might need to provide the seller a “A letter of intent” that shows you are a serious buyer.  The letter will help encourage the seller to provide more information.  Prepare a checklist of information needed, which should include the following:

  • A complete financial accounting of operations, including all income tax returns and state sales tax forms, for at least the past three years or from the beginning of operations if not established that long. 
  • Listing of all assets to be transferred to the new owner, including item breakdown of all inventory as of the last accounting period.  
  • A statement as to any legal action past or pending against the present operation.  
  • A copy of the business lease or mortgage.  
  • A list of all major suppliers to the business to include names and addresses of those to contact who are familiar with the operation.

6. Upon a satisfactory personal examination of all information received the potential buyer should then visit:

  • An accountant for further interpretation of financial information.
  • The landlord or mortgage holder to inquire about the transfer of the premise to a new owner. In the case of a lease, the expiration date should be discussed and if possible renegotiated to the intentions of the new owner. An on-site review of the facility should be conducted to assure it is in satisfactory condition.
  • Research the future of the market and the location.  Be sure to look into demographic changes, road changes, legislation that might impact the business.  Many business owners sell a business upon learning of some legal or city hardship, hoping the buyer will be unaware of the issue. 
  • Check with vendors that sell to the business to validate the sales reported and an opinion as to the likelihood of future growth of the business.

7. Request permission from the seller to allow you to spend time at the operation observing and surveying customer satisfaction.

8. Determine a fair price to offer for the business. It should be noted, however, that there is no universally accepted formula for determining business worth. Some of the approaches include book value and capitalization-of-earnings approach.

Before you present your offer to the seller, determine what financing arrangements can be made available through a lending institution or the seller.

Present the “Intent to Offer” in writing to the seller and be sure to include the appropriate business clauses such as accuracy of information, lending approval, and confirmation of pending legal actions to name a few.   Always include in the letter that the acceptance of the intent precludes the seller from negotiating with other buyers for some period of time so that the potentially costly efforts to investigate liens, financial information, and market analysis are able to be completed.

Normally, at this point, there will be negotiation. The more information that you have collected and analyzed, the more confident you will be in presenting your case.

As the buyer, you will have to use your best persuasion techniques to convince the seller your offer is fair and the advantages to the seller of accepting the offer. Be prepared to walk away if a major obstacle prevents you from obtaining important objectives. 

9. If an agreement is reached contact an attorney to draw up a suitable sales contract and research state records for any liens against the property for failure to pay a debt.

The contract should be contingent upon examinations of all assets to validate what is represented is true.

10.  Before signing a sales contract, the buyer should be present when a final inventory count of assets, including inventory, is taken.