Datasite’s recent research reveals that the most common 2 issues uncovered in due diligence that causes buyers to withdraw from a deal in due diligence are cybersecurity and data concerns (36%) and financial weaknesses (22%). When asked how often a deal does not progress due to an issue uncovered in… Read More »Top 2 Deal Killers in Due Diligence
As we continue to take companies to market during COVID-19 period, we’re asking new questions about business response plans and resilience. It’s been interesting to see the different attitudes and approaches. Business owners who are burnt out are very much taking a “sell now and let the next person deal… Read More »When COVID is the “Next Buyer’s” Problem
Virtual Data Rooms (VDRs) are now a fairly well-established practice in business transactions. Also known as a Deal Room, a VDR is a secure online portal used to share confidential files. Historically, a physical data room would be set up at the seller’s business office, or their advisor’s office, so… Read More »Virtual Data Rooms: Don’t Use an Advisor Without One
SBA relief efforts incentivizes buyers to move ahead with business acquisitions. Per the SBA website, “the SBA will pay six months of principal, interest, and any associated fees that borrowers owe for all current … as well as new 7(a), 504, and microloans disbursed prior to September 27, 2020.” This… Read More »Motivated Buyers Fueled by SBA Incentives and Need
SBA debt relief efforts are incentivizing buyers to move ahead with business acquisitions. Right now, “the SBA will pay six months of principal, interest, and any associated fees that borrowers owe for all current … as well as new 7(a), 504, and microloans disbursed prior to September 27, 2020.” This… Read More »SBA Debt Relief Incentivizes Buyers
When selling a business, an earnout or foregivable promissory note is a Buyer’s commitment to pay the Seller a certain amount of money tied to future performance after a sale. It bridges a valuation gap between what the Seller wants out of the business or future contracts are expected but… Read More »WIN-WIN: Earnouts / Forgiveable Promissory Notes
As a general rule, no one customer should account for more than 20-25% of your revenue. While having large customers can be good for your bottom line, it introduces risk to the next owner. As you build your business, pay attention to what a future buyer will want. They’re looking… Read More »Advisor M&A Tip-The Discipline to Diversify
Going into Business: Buying In vs. Starting Up If you’ve got a passion for business and want to own a company, you’re on the right track for the adventure of a lifetime. There are several ways to get started, but they’re not always clear, and which is right depends on… Read More »Going into Business. Buying In vs Starting Up
If you are interested in buying a business, it is an exciting yet sometimes an uncertain place to be. At Delta Business Advisors, we only list businesses for sale that have a value for a buyer, so you can be confident that we have taken the time to evaluate all… Read More »Buying a Contracting Business