Category Archives: Business Valuation & Appraisal

A discussion of the issues involved in valuation / appraisal of a business by William Bruce, president of the American Business Brokers Association.

What’s Going On in the Small Business-for-Sale Marketplace

If you’re buying or selling a small business, or just want to keep up with what’s going on, this survey returned some valuable information. The William Bruce Report: The Condition of the Private Business-for-Sale Marketplace is a quarterly disclosure of national … Continue reading

Posted in Business Valuation & Appraisal, National economy, Valuing, Buying or Selling a Business | Leave a comment

Confusing Interest Rates Explained

Interest rates are all over the economic news.  Different and confusing interest rate benchmarks sometimes create bewilderment. In an effort to add a bit of clarity, the three benchmark interest rates we’ll discuss in this article are (1) the Federal … Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | 2 Comments

Why Some Small Businesses Don’t Sell

As a business broker for over 35 years, I’m often asked why some small businesses don’t sell.  It’s a sad situation when a business owner reaches retirement and can’t find a buyer for their business.  Too many times, they just … Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | Tagged | 2 Comments

Seven Reasons to Retain A Business Broker When Selling Your Business

You’ve probably spent years building your business.  And so, when it comes time to exit, how can you increase the chances of a successful transition? Retaining an experienced business broker is a good place to start. Our friends at Hatchit.us … Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | 2 Comments

Small Business Valuation Multiples Explained

In the complex area of small business valuations, are you confused about which earnings valuation multiple to use?  There are at least six earnings computations, including: SDE – Seller’s Discretionary Earnings EBIT – Earnings Before Interest and Taxes EBITDA – … Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | Tagged , , , , , , | 1 Comment

Should You Sell Your Business Now or Wait?

We’re living in strange times with the pandemic, a record number of hurricanes and a change of residents in the White House.  So if you’re considering exiting your business, it’s natural to wonder if you should sell your business now … Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | Tagged , , | Leave a comment

What Are the Differences Between EBITDA and Seller’s Discretionary Earnings (SDE)?

The differences between EBITDA and Seller’s Discretionary Earnings (SDE) cause confusion.  Sometimes the two terms are incorrectly viewed as interchangeable, but there are important differences. First, some definitions.  Both are business performance benchmarks that are widely used in valuing a … Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | Tagged , , , , | 8 Comments

Considering Buying a Business? Here Are the 6 Most Frequently Asked Questions.

The most frequently asked question by individuals who are considering buying a business and answers by William Bruce, President, American Business Brokers Association. Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | Tagged , , , , , , , , , | 4 Comments

The Best and Worst Franchises Ranked by SBA Loan Default Rates

This is an article by William Bruce containing a list of the best and worst franchises as ranked by SBA loan default rates. Continue reading

Posted in Business Valuation & Appraisal, Franchises, Valuing, Buying or Selling a Business | Tagged , , , , , , , , , , , , , , , , , , , | 32 Comments

Buying or Selling a Business? Use These 7 Negotiating Tips.

Once an initial and contingent written offer to buy or sell a business has been made, the transaction usually enters the negotiation phase. The negotiation phase is really not complicated. Most likely you’ve already bought a car and/or a home. The negotiations over the price of a business are similar. Here are seven suggestions to help.
Continue reading

Posted in Business Valuation & Appraisal, Valuing, Buying or Selling a Business | Tagged , , , , , , , , | 8 Comments