Were you one of the many operators thinking about selling your company in 2020? I don’t care if a business broker offers you a commission-free transaction, 2020 is no longer the year to sell your company. Instead, 2020 is the time to take steps that will ensure your business is stronger and even more valuable than it was early this year, before the COVID-19 pandemic occurred.
2021 – Business valuations will rebound
Despite the many doom and gloom projections that you hear about valuations, once COVID-19 is under control, business valuations will rebound. If you were planning to sell your business this year, then your dreams have taken an unexpected detour. Instead, 2021 will be your year to sell for even more money than what you were hoping to get in 2020.
Let’s repeat that — in 2021 you will be able to sell for even more money than what you were hoping to get for your company in 2020! This assumes one thing: proper positioning.
As the industry’s leading sell-side business broker, I have added key resources and altered my approach to ensure that my clients reach their ultimate goal — to enjoy the highest possible valuation for their business.
To accomplish that goal, you need to accept three important points:
1. It is time for a new methodology. The old-school approach of business brokers — delivering sellers (like cattle to the slaughterhouse) to the same old buyers over and over — is outdated. It is perfectly fine if you are willing to accept less money for your business, but who wants to do that?
2. The new elite buyers are from outside the industry. Many entities, including equity funds, bottling companies and convenience store chains, desperately want to buy into the vending, office coffee service and micro market space. This is where the opportunity lies for operators who want to receive valuations that were previously unimaginable.
3. Positioning your company is of paramount importance. Selling for an exceptionally high valuation one year from now will require some effort on your part. You will need to position your company to attract those elite buyers. Unfortunately, again, old-school business brokers are simply not equipped to guide you through that process.
Why the “old school” broker is no longer the best choice
What is the fundamental difference between old-school business brokers and VBB Advisors
- Old-school business brokers start the selling process when you are ready to sell your company.
- At VBB Advisors, we start the positioning process at least 12 months before you are ready to sell your business. I will provide you with the information and tools that will allow you to make your company attractive to elite buyers.
As a Certified Value Builder Consultant, I offer operators a 12-module program that has a proven history of generating results. Your well-positioned company’s image will resonate with the type of buyers you need to attract in order to enjoy the maximum business valuation levels.
Proven methodology for higher valuations
In fact, the Value Builder System is a statistically proven methodology for increasing the value of your company. Companies that score a highly attainable 80 points will historically see offers up to 71% higher than average companies represented by old-school business brokers.
Work with Mike Kelner and the program is ultimately free
When you select VBB Advisors as your sell-side intermediary, the entire cost of the Value Builder program will be rebated back to you, whether you sell in one year or five years from now.
As an operator, you have worked hard to make your business what it is today. You have taken the necessary steps to protect your business in more than one downturn, long before the COVID-19 crisis. Because of your ability to change, you always land on your feet.
It’s time for our industry to take a more advanced approach at how we position our businesses to attract the most desirable buyers. I welcome the opportunity to discuss your plans, my innovative solutions and the Value Builder System, which can help you achieve your vision of selling your business for the highest possible price, whether your exit plan is short-term or long-term.
Mike Kelner | Senior Business Intermediary, Vending Biz Broker
Mike Kelner is the founder and president of VBB Advisors, a full-service merger and acquisition firm serving the vending, office coffee and bottled water industries. Mike has been a senior business intermediary in the refreshment services industry for over 30 years, representing sellers exclusively. He is a Certified Business Intermediary and Value Builder Advisor.
Mike can be reached at [email protected] or 704-942-4621.
