Blog

May 13, 2017

Net Working Capital – And How To Keep More Of It

  Net Working Capital And How to Keep More of it in a Transaction.In theory all assets necessary to produce the revenue and earnings of your company needs to be passed to the buyer at close – and that includes an “operating level” of net working capital.  It is, in my opinion, extremely important to know how this works before entering into a transaction.  And if you realize how it works a year or two before a transaction, you can often tighten
Read More
April 2, 2017

Stock vs. Asset Sales – A Visual Explanation

  Selling the shares you hold in a company vs. selling the assets out from the under the company can make a big difference in taxes, who assumes certain liabilities and what happens to certain contracts. There are challenges with each, such as the assignment of customer agreements with an asset sale, and change of control clauses in stock sales.   We’ve known Ney Grant, an M&A Advisor on the west coast, for many years and he has recently released
Read More
February 11, 2017

What Are Your Company’s Weaknesses?

  Every company has weaknesses; the trick is to fix them.  There is a saying that the test of a good company president or CEO is what happens to the company when he or she leaves.  Some companies–on paper–may look the same, but one company may be much more valuable due to weaknesses in the other company.  Not all problems or weaknesses can be resolved or fixed, but most can be mitigated.  Fixing or lessening company weaknesses can not only
Read More