Monthly Newsletter – November 2022
Insights from our interactions this month
2022 has been a difficult year for business owners, we have come out of a global pandemic (or have we?), the war in Ukraine has hit energy and food supply chains and prices hard and then add to that the domestic political turmoil and the uncertainty that has created. Despite all that the general mood is surprisingly upbeat amongst all the business owners I meet and there are still buyers seeking businesses. So there is positivity out there, therefore owners looking to sell their businesses should continue to make preparations.
Tip of the month
All businesses are facing strong inflationary pressures, which lead to rising costs, which in turn can drive down profit. Profit is one of the key drivers of value when selling your business, so if you want to sell keep a strong eye on profit levels and to look to at minimum maintain current levels or grow them if you can.
Some of the steps you can take to make your journey to selling your business smoother:
– Plan well ahead, make sure your business is fit to sell
* Is profitable with good cash-flow
* Demonstrates growth and has a good level of recurring sales
* Has a strong management structure and workforce
* All contracts and legal paperwork are up to date
* All accounts and documentation are up to date
– Ensure all shareholders are in agreement that they want to sell
– Choose good advisors (commercial lawyer, accountant, and broker)and ensure your focus remains on the business
– Make sure you have a strong personal support network around you to help you de-stress and maintain your sense of humour.
Featured Business this month
WHOLESALER IN THE WATER TREATMENT SECTOR for sale
Supplier of parts and components to the water treatment industry; both installers and dealers.
Long established the company has built up an excellent reputation and operates from its own premises but is relocatable. Its product range is both bespoke and industry standard.
The company has a turnover of £1.5m and generates an EBITDA of £478k.
To maintain confidentiality we never disclose business names until applicants have signed a non-disclosure agreement.
If you want to talk to me about any of the points mentioned please message me on rupert@weybrookbusinessbrokers.com