Certified Business Brokers
The Business Transfer Newsletter
April 2014
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Selling Texas Businesses

Since 1974  
















Selling Texas Companies Since 1974.


       Our monthly newsletters provide information about buying or selling a business, current economic conditions, and highlight some of our newest business-for-sale opportunities.  Our record of professionalism and reputation as a top firm in the nation has a lot to do with our people -- a knowledgeable long-term administrative staff and a very experienced team of professional brokers. We are headquartered in Houston and have offices in Austin.


Read our Archives, "The best library of articles about how to sell your business." - The New York Times

CBB Newsletter Archives 

Businesses For Sale

    Review All Listings                         Manufacturers For Sale 

    Wholesale / Distributors                 Service Businesses For Sale 

    Auto-Related Businesses                Child Care Centers For Sale   

                          Restaurants - Fast Food - Bars 



Featured Business Listing

* Featured Restaurant Listing 




Katy Signs & Associates, Inc. 

Pictured left to right: Linda & Robert Bentley-Sellers,
Beijing Xinfeng Construction Company-Buyer's Representatives,
Chris Bentley-Former Owners' Son & New Manager of Katy Signs



The story of Katy Signs is a typical American success story. Robert was working for a sign company back in 1998 and had Fridays, Saturdays and Sundays off. He began to fabricate signs in his garage on his days off. He would install them by hand and ladder. Due to word of mouth about the quality of his work, his customer base began to grow. On June 1, 1998, with the help of his wife Linda, he made the leap to start his own company and Katy Signs was born. They hired four employees and rented a small 850 SF shop. Over the next few years they hired more employees to meet the growing demand for the company's signs and the Bentleys eventually purchased a 6500 SF shop on an acre of land. The company has fabricated and installed many of the most visible and memorable landmark signs in Houston, including an oversized grand piano outlined in neon and set atop a pole eighty feet in the air.


The Chinese investment company, Beijing Xinfeng Construction Investment, Ltd., an investment company from the People's Republic of China, was looking for a solid manufacturing company in the US that had an experienced workforce and growth potential. CBB introduced the buyers to Katy Signs and they determined that the business was a perfect fit for their investment criteria. The transaction was closed ten days after the purchase agreement was signed. The Chinese company has chosen Chris Bentley, son of the previous owners, to lead Katy Signs to continued success.


After a short transition period, Robert and Linda are going to retire to a beautiful country home they built in the peaceful hills and woods of East Texas.  We wish them the best in enjoying the rewards of building a fine business and selling it to the right buyer.



Frank Stabler listed the business and sold it.



BioTech Commercial Plumbing Services 

Pictured left to right: Tom Pence-CBB Broker, Marlene & Don Allen-Buyers,
Mike & Pam Keefer-Sellers, Ron Consolino-CBB Broker



After 17 years of establishing and operating this very profitable commercial plumbing and repair service, the former owners, Mike and Pam Keefer, decided it was time to retire. The company primarily services

restaurants, malls, and shopping centers in and around the Houston Metro area.


The Allens, the new owners from California, hadn't been looking for an acquisition very long when they discovered this opportunity. Don will be transferring his California Master Plumbing License to Texas during the transition and Marlene, a Veterinary Physician, will be modernizing administrative operations and considering moving to a larger facility. She plans to purchase a Veterinary Hospital to continue her medical practice here in Houston.


Of particular interest to the Allens, was the company's long-standing relationships with hundreds of customers, with much of revenues coming from contractual services. In addition, there was an experienced, knowledgeable staff of licensed plumbers and technicians already in place. The business had grown organically through word-of-mouth, but the new owners plan to develop a proactive marketing program to increase their market share.


Ron Consolino listed the business and Tom Pence sold it.



Dreyco Mechanical Services 

Pictured left to right: Elaine & James Dreymala-Sellers,
Ibrahim Mikhail, Gehan Gabra, Youssef Mikhail-Buyers



Dreyco Mechanical, located on a 2.1 acre machining and mechanical maintenance complex in Houston's petrochemical corridor with easy access to the ship channel, is a family owned business established in 1978. The company services the petrochemical, power generation, food, marine, and utility industries. The company's primary areas of service are vibration control, dynamic balancing, shaft alignment, and machining services. The former owners, James and Elaine Dreymala, were ready for retirement after almost 36 years of operation.


In steps the Mikhail family, who for generations had built a group of industrial machining and balancing businesses in Cairo. The family was looking for opportunities outside of Egypt and to relocate to the U.S.

Incredibly they found Dreyco, which provided services nearly identical to the services the Mikhails provided in Egypt.


Jerry Verbout listed and sold the business.


Ask The ExpertsQuestion Ask The Experts



What assets are included in a business sale?:



While there are no absolutes for what assets are included, or not included, in the sale of a business, the following are the tangible items that are typically part of the scenario.


The furniture, fixtures, and equipment used in the business are normally included in the sale price of the business.  It is usual that these assets are transferred to the buyer free and clear of any debt.  It is common that loans on equipment or vehicles are paid off at the closing of the sale of the business from the sale proceeds.  Personal assets that are owned by the business but are not necessary for its operation are usually excluded from the assets sold.  The seller should not include these in any lists of assets given to the buyer and make it clear to a buyer what personal assets are not included in the sale of the business.


Normally, a business owner keeps the cash and cash equivalents - such as money in bonds or a money market fund.  Accounts receivable can be included in the business sale.  It is usually not included in the advertised price.  It is generally to the benefit of the buyer and seller for the buyer to buy accounts receivable.  It makes for a smoother transition for the customers and spares the seller from pursuing the accounts after the sale.  A buyer usually prefers to pursue the slow paying accounts rather than having the seller do it after the sale of the business.


Inventory is a large part of the assets for many businesses.  Again, it may or may not be included in the advertised price.  In a business that carries inventory, it is common for a normal inventory level to be included in the agreed upon price.  On the day of the closing, an actual inventory is taken and the sale price is adjusted, up or down, from the amount included in the sale price.  In some businesses that work on the inventory, such as a manufacturing business, there will be inventory that is not finished on the day of the sale.  The buyer and seller need to analyze this work in process and agree on a price for it.  They do so on the day of the closing.


In some business sales, particularly larger ones, the parties agree on a figure for net working capital, rather than agreeing on how each component of working capital will be handled in the sale.  Net working capital is usually defined as current assets, excluding cash and cash equivalents, less current liabilities, excluding amounts due on loans.  At the closing, the sale price is adjusted based on the difference in net working capital from the agreed upon value.


When selling, or buying, a business, be sure you are clear about what assets are included in the price.

Texas Economic News


We watch economic and market conditions compared to the rest of the country because these factors affect business value. The following articles were all published since our last newsletter.


Move Over Energy Sector - Health Care Industry On The Horizon Set To Boom In Texas


Alamo Drafthouse CEO: Business Is Much Easier In Texas Compared to NY


Toyota, One Of California's Largest Employers, Is Fleeing To More Business-Friendly Texas 


Texas Business Owner Survey | 75% Are Very Happy With Their Lives....& Other Interesting Stats


Texas Sees Strong Personal Income Growth


Austin Ranked No. 5 On The Top 10 U.S. Startup Cities List  

Texas Will Outproduce All But One Of The OPEC Nations This Year  


Dear Texas  |  Enjoy The Oil Boom. Just Don't Blow It This Time 



From Bayou City To The Bio City   |  Changes Underway To Make Houston Major BioTech Hub 


South Dakota Tire Manufacturer Moves HQ To Houston 


Global M&A Activities Grew In The First Quarter Of 2014 By 23% Over The Same Period Last Year 


Sriracha Hot Sauce Maker Considers Move To Texas After Irwindale, CA Declared Its Factory A Public Nuisance 


Texas Is 13th In New "Rich States / Poor States" 2014 Performance Report & Has Been Historically Stable 


Texas Crude Production At Highest Level Since 1980 


We're Off To Texas! | Why This Gold Coast Startup Chose Austin Over Silicon Valley  


Houston Signs Agreement For Dream Chaser, A Project To Ferry Astronauts To & From Space Station 


Texas vs California - Los Angeles Local News 


Craft Brewing Is A Dynamic Growth Sector In Texas, But Legislature Needs To Do More To Keep It  


Texas Scored An 'A-' Rating On "Follow the Money 2014" Report For Gov't Spending Transparency 


This Incredible Map Shows Just How Gigantic Texas Really Is  


German Health Care Manufacturer To Bring U.S. Headquarters to Austin 


Having One Of The Best Economies In The U.S. Isn't Free  


Texas Leads The Nation In New Home Sales At Double The National Average 


Groundbreaking For New Ammunition Plant In Texas 


For high-speed rail's future in Texas, the private sector dares to go where government won't  

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