In the lower middle market there are basically two types of companies: Lifestyle Companies and Growth Companies. The major difference is that the owners of Lifestyle Companies take most of the profits out on an on-going basis, while the owners of Growth Companies reinvest the profits to grow the company. The Lifestyle Company A good example of a Lifestyle company is Read more
Most people start a business with dual financial objectives: making money and creating an asset (equity in the business) that they can eventually sell. That’s what you wanted – right? Well, the reality is that over 70% of businesses that go to market don’t sell: meaning they don’t get a return on the Read more
Customers are the lifeblood of any business. Without customers you have no business; but the makeup of your customer base has a big impact on your company’s value. Your Customer Base is made up of several components, some more important than others. The major components of your customer base are: Customer Loyalty Having repeat Read more
You’d like to sell your company in 3 years. You’ve heard that fewer than 25% of companies that go to market actually sell and that makes you nervous. Your retirement money is locked up in the company and if you can’t get it out you can’t retire. That’s one problem Read more