The Beal Business Advisor

October 2015

Contact Number: 204-478-7266

In This Issue

Closed Transaction
Buying a Business - Accounts Receivable
Selling your Business - Myths about Selling your Business (Part 3)
Question of the Month - Useful Tips when starting out using Social Media to Market your Business

Closed Transaction

Franchised Fitness Facilities Business

The Undersigned Has Acted as an

Advisor to the Vendor

Beal Consultants

Steven Beal, MBA, CGA, CFA, CBV, CBI

204-478-7266 ext. 109

www.bealconsultants.ca

Accounts Receivable

Last month we discussed cash, this month we want to discuss accounts receivable.

Accounts receivable may or may not be part of a sale, for reasons similar to cash, as discussed last week. Where it is left in, it is typically matched up with the payables (i.e., the buyer takes over the receivables, and pays the payables). Specific things to look for when you examine accounts receivable are:

- Review an aging schedule

- Understand if there is customer concentration

- Review any overdue / disputed accounts

- Understand the amount held as a reserve for bad debts

If a buyer buys receivables, it should be clear who is responsible for any amount that is uncollectable by the new buyer.

Next month we will discuss inventory.

In the meantime, if you would like more information on buying a business, contact us at 204-478-7266x110.

Myths about Selling Your Business (Part 3)

Myth #3 "I Know What its Worth"

We are half-way through our top five myths that business owners have when they think about selling their business. Last month, we talked about the difference between selling a business versus selling a house. This month, we want to talk about valuing your business.

Some owners will base the company value on what they need for retirement. Others will tell you they want $100,000/year for "sweat equity." Still others utilize industry multiples.

A third party valuation is a good idea for anyone seriously considering the sale of their business. An outside valuation will include a thorough analysis of the business and the market it operates in. This will provide a solid understanding of the company's growth potential, not some vague industry average. We can help you with this process, accessing information on comparable businesses and a detailed understanding of your business and its financials. Need help selling your business or knowing its value?

Next month's myth: - "I'll sell when I'm ready"

If you are interested in discussing succession planning for your business, contact us at 204-478-7266x110.

Current Businesses for Sale

Central Winnipeg Convenience Store (NEW)

Winnipeg Used Book Store (NEW)

Seasonal Product Manufacturer/Contractor (NEW)

Women's Clothing Store (NEW)

The UPS Store - Winnipeg Location (NEW)

Coffee Shop Franchise South of Downtown

Rural Chicken Franchise Restaurant

Home Renovation Business

Profitable Resort

Winnipeg Auto Repair Shop

Farm Parts & Recycling Business

Auto Parts, Service and Recycling Business

Winnipeg Construction Company

Construction Supply Distribution Opportunity

Profitable Winnipeg Automotive Services Center

Convenience Store South of Downtown

Rural Automotive Repair Shop Location

Carman Property

Electrical Contracting Business

Fitness & Weight Loss Facility

Winnipeg Tailor Business

Franchised Food Retailer - Franchise

Franchise - Tanning Studio

Small Town Dollar Store

Thompson Hotel and Restaurant

WOW 1 Day Painting Franchise

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To review any of these business profiles, please click here .

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We do not advertise all of our listings to the public.

If you have a specific type of business in mind,

please call 204-478-7266 x110 to inquire!

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Quick Links

Beal Consultants Website

Quote of the Month

"Really it comes down to your philosophy. Do you want to play it safe and be good or do you want to take a chance and be great?"

Jimmy J

What are some useful tips when starting out using social media to market your business?

In last month's newsletter we discussed the benefits that utilizing social media has for small business owners. Social media gives small businesses a platform to amplify their voice and visibility among prospective customers, creating a rich, cost-effective opportunity to small business owners. This month, we will discuss some tips for using social media to market your business.

While using social media can be a simple process in general, it can be rather complex to use these social platforms to their fullest potential, and it will take a detailed strategy to get the most out of your social media platforms. Here are some helpful tips:

Create a relevant profile - your primary reason for using social media is to market your business, so ensure your profile is relevant to your business and the products or services you offer

Create a network - Find people within your social networking community that may be interested in your business. Utilize search engines to connect with potential customers directly, and join groups that are relevant to your company. If you follow people they will likely follow you in return.

Publish new content often - It is important to remain active and update your profile often in order to build brand awareness and keep your company at the top of customer's mind.

Make your communication informative rather than promotional - When using social media it is important to follow the 80-20 rule, no more that 20% of your overall online activities should be self-promotional. When updating regularly ensure you are providing value to your customers.

Be honest - it is important to be open and honest with your customers. Do not act like you are the customer and provide false feedback or lie about your products or services. Being honest helps to build trust between you and your customers.

Listen to your customers - Always listen to customer feedback. One of the main benefits to using social media is it provides you a valuable source of constructive feedback, and will ultimately help you to better serve your customers in the future.

Using these basic guidelines when implementing social media can help your business to become a trusted source of information to your customers and provide them with value added services they may not be receiving from your competitors.

Note: It is important to remember however, social media networks such as Facebook or Twitter should not be undertaken lightly. How a business comes across in social media is crucial to the reputation of your business.

Call us at 204.478.7266 x110 if you would like us to help you write a business plan.

About Us...

Beal Business Growth Consultants, Inc. helps owners of small and medium-sized businesses to buy, sell, value, and grow their businesses. We also work with individuals who are looking to buy or start a business or franchise.

Call us at (204) 478-7266 x110 to book a free, initial 30-minute consultation to explore how we can help you buy, sell, value or improve your business.

Legal

Copyright 2015 by Steven Beal, Beal Business Growth Consultants, Inc. The information herein is not complete and is intended only to provide guidelines to supplement counsel the reader receives from a qualified professional. It is distributed with the understanding that the author is not rendering legal, accounting or tax advice or opinions on specific facts or matters, and accordingly, assumes no liability in connection with its use.

Published by Beal Business Growth Consultants, Inc.