Round 1: Midwestern Businesses Round 2: Western Businesses Perhaps one of the early flaws of the program was that funding went to areas that were not as hard hit with COVID-19, in addition to the larger companies that we’ve heard about. https://www.nytimes.com/interactive/2020/05/07/business/small-business-loans-coronavirus.html
In Q1 2020, buyers began to offer lower valuation multiples as they were preparing for a coming recession. Multiples dipped in the lower middle market this quarter, dropping well below market peaks. Historically, multiples in Main Street have varied within about a 10% range. For more information on Selling or… Read More »YOY Median Multiple for Business Sales: 2014-2020
May 11, 2020 In these extraordinary and uncertain times, you may have welcomed the Paycheck Protection Program and been in compliance when applying. However, rules have changed. You must certify that the following 8 facts are true and verifiable. If the Answer is “True” for Each Statement, by all means… Read More »I Received PPP, Should I Keep it? 8 True answers = Yes
Q1 2020 found that overall final sale prices came in anywhere from 90% to 100% of the pre-set asking price or internal benchmark. Lower middle-market companies in the $5M to $50M range achieved the highest values at 100% of benchmark. For more information on Selling or Acquiring, contact us: DeltaBusinessAdvisors.com… Read More »Where Are Business Values Trending?
Today, May 8, the East Valley Chamber of Commerce Alliance published its survey results from Business Owners responses as of April 20, 2020. Finding Summary: 47% of respondents said they’ve implemented employee furloughs or layoffs, while just over one-third (35%) reduced employee hours. Loans and debt relief continue to be top… Read More »Local AZ Survey Results from the East Valley Chamber of Commerce Alliance (EVCCA)
May 7, 2020 Why choose Delta Business Advisors for selling your company? This video provides a brief overview of things to consider prior to the decision to sell your business. Contact us at 480-686-8062 to be prepared for the moment that triggers your desire to sell. A shout out and… Read More »Why choose Delta Business Advisors for selling your company?
In Q1 of 2020, business brokers and M&A advisors reported similar thoughts on the market, with more perceiving a Buyers’ Market than Sellers’ Market on the horizon. Market conditions dipped only slightly for the smallest businesses valued at $500,000 as this segment is historically a buyer’s market. However, brokers still… Read More »Q1 2013 to Q1 2020, Seller Market Sentiment
May 7, 2020 2020 projected unemployment: 8.9%. Unemployment is expected to peak in Q2 at 13.1% while Jobless claims approach 26 million with the hospitality, leisure and food services particularly hard hit. 2021 projected unemployment: 6.5%. The positive news, the rebound is expected to be relatively quick. Additional positive news… Read More »US Unemployment
wanted to share some insights I picked up from lenders regarding acquiring/buying a business with SBA funding at this time. These are lenders’ opinions based on their past experience with the SBA. How is the SBA Funding New Acquisitions? As part of the stimulus packages, they in essence took some SBA… Read More »Timely Insights on Buying a Business with SBA Funds