Mark Corke of Suitegum is a Business Broker. We, as SMME's are usually at fault with respect to our businesses, as we work for the business rather than allowing the business to work for us.
Most of my memories of Mark, are of him telling us how to get our businesses ready for sale and making sure that that they stay that way, so that in the case of any emergency, like the demise of the owner of the business etc, everything is ready.
Then of course comes the real 'whammy'! We are all so caught up in our own little eccentricities that we often become quite paranoid - especially when it comes to compliance - It's the government/SARS/my competition/etc that are out to get me and make my life difficult! Sound familier? Perhaps a mindset change is in order! Here are the facts:
1. "Getting your 'house' in order and compliant will add to the value of your business."
2. "Getting your books up to date and ensuring that you are having a good relationship with SARS (your VAT is up to date, your PAYE, UIF & SDL are also up to date and your semi annual and annual tax returns are up to date), will add to the value of your business."
3. "Getting your HR issues up to date with regards to Letters of appointment, Job Descriptions are up to date as well as all of the leave requirements etc, will increase the value of your business."
4. "Having all your legislative requirements up to date (such as your Basic Conditions of employment, Employment Equity & Occupational Health and Safety Act posters up etc) will add to the value of your business"
5. "Having all of your processes and controls documented and ensuring that your staff are well trained in them, will add value to your business."
All the above, and any other requirements that I have failed to mention, will not only increase the value of your business, but it also shows that you are serious about what you do and that you are serious about business.
Here is what Mark has to say:
Most businesses don't sell for anything close to the value they should, and frankly...
THAT'S JUST WRONG.
Particularly when the owner isn't around to defend the value.
If you were to sell your business today, would you get true value for it? And if you were not around, would your loved ones be able to sell it for what it's worth? Do you really think they could? Do you even know what the real value of your business is? The simple truth is that businesses are often sold unprepared under unforeseen circumstances.
The unfortunate answers to these questions lie in the fact that most business owners never consider preparing their businesses for sale before a purchaser asks them to supply the financial statements, management accounts and VAT returns. No sooner are these supplied, than the prospective purchaser asks about the customer mix and debtor analysis. Another challenge all together…
Prepare your business for sale!
You can learn to prepare your business for sale so that at the drop of a hat you are ready to sell for 209% more than you believe it is worth today. An impossibly silly claim? Not at all!
Businesses that are properly prepared for sale, well in advance of the event, and then kept prepared through a simple maintenance program, always sell for higher values, in quicker, cleaner deals, than if the business had not been prepared properly, or at all.
So why don't we prepare our businesses for sale?
Most sellers simply don't know where to begin. They know they need to present a profit figure, and they know that VAT returns will be used to prove the turnover. They hastily sketch out some cash flow forecasts based on improving “this” and implementing “that”. They are scared that their staff will up and go if they discover the business is for sale. They don't want their suppliers and customers to find out.
Any of this sound familiar to you? Do you fit the bill?
And so you do nothing until the buyer is sitting in the office asking awkward questions. At that point, of course, it becomes a bit of a mess, as the bookkeeper is called in, sworn to secrecy, and has all the pressure transferred to his shoulders. By the next morning even the cleaners and drivers know there is something afoot.
If I can show you how to pre-empt this entire debacle, and add value to your business, would you be interested in “Preparing your business for sale”? Well, of course you would.
If you were to sell your business today, would you get true value for it? And if you were not around, would your loved ones be able to sell it for what it's worth? Do you really think they could? Do you even know what the real value of your business is? The simple truth is that businesses are often sold unprepared under unforeseen circumstances.
The unfortunate answers to these questions lie in the fact that most business owners never consider preparing their businesses for sale before a purchaser asks them to supply the financial statements, management accounts and VAT returns. No sooner are these supplied, than the prospective purchaser asks about the customer mix and debtor analysis. Another challenge all together…
Prepare your business for sale!
You can learn to prepare your business for sale so that at the drop of a hat you are ready to sell for 209% more than you believe it is worth today. An impossibly silly claim? Not at all!
Businesses that are properly prepared for sale, well in advance of the event, and then kept prepared through a simple maintenance program, always sell for higher values, in quicker, cleaner deals, than if the business had not been prepared properly, or at all.
So why don't we prepare our businesses for sale?
Most sellers simply don't know where to begin. They know they need to present a profit figure, and they know that VAT returns will be used to prove the turnover. They hastily sketch out some cash flow forecasts based on improving “this” and implementing “that”. They are scared that their staff will up and go if they discover the business is for sale. They don't want their suppliers and customers to find out.
Any of this sound familiar to you? Do you fit the bill?
And so you do nothing until the buyer is sitting in the office asking awkward questions. At that point, of course, it becomes a bit of a mess, as the bookkeeper is called in, sworn to secrecy, and has all the pressure transferred to his shoulders. By the next morning even the cleaners and drivers know there is something afoot.
If I can show you how to pre-empt this entire debacle, and add value to your business, would you be interested in “Preparing your business for sale”? Well, of course you would.
You will be empowered to prepare a complete prospectus on your business, to be easily updated every month in less than an hour.
You will learn exactly how to add value to your business so that both you and your buyer benfit from the improvements.
You will be able to identify the elements in your business that savvy buyers are after, and show those elements to your best advantage.
You will gain....
oh never mind; I promise you that you will get so much value that you won't ever want to take me up on my money back guarantee... but I'll offer it anyway (It's all in my full offer on my website).
I cannot tell you how many times I have been asked to sell a business in a hurry.
“I will take any reasonable offer.”
“I don't know how to run my wife's business, and I don't have the time.”
“I'm getting divorced, and my wife wants the business.”
“We've had enough, and we're going to emigrate. I need my money by December.”
"My husband has had an accident. He says I must sell his business because it is going out of business. "
Why condemn yourself to this unhappiness?
There is an easy solution, you know. What's more, it is so easy if you are already running your business in a slightly better than basic fashion. By following our techniques, nobody need ever know that your business is being sold, or in fact that you have prepared your business for sale, if this is an issue for you.
Great news for business owners who think their businesses will never be sold:
Not only will your business be sold, but you will use the proceeds from that sale to improve your life and leapfrog your dreams to a higher level.
Join me for a few hours of good advice and solid pointers as to how you will create a life raft of opportunity in your business, ready to be launched at short notice.
All businesses should be in a constant state of readiness for sale. We live and work in an uncertain environment with new challenges being thrown our way constantly.
Do not be caught unaware.
Do not be caught investing most of your life’s time in a business to keep the wolves from the door today, and to provide for your future tomorrow, when you have no idea of what a buyer would be looking for in a business today.
Do not be caught flat footed when circumstances such as illness or death dictate that you have to sell at short notice.
Wouldn’t that be sad?
If you are serious about your business, please check out Mark's website on www.suitegum.co.za.
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