Certified Business Brokers
The Business Transfer Newsletter
May 2016
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Have The Right Valuation Expectations When Selling Your Business





Delicious Cases Of Recipe Espionage: How To Protect Your Trade Secrets


Can A Great Brand Boost Business Value When It's Time To Sell?





3 Things I Learned In The NFL About Being Successful In Business 




What's Your Number?




How A Baby Boomer Can Gain Closure After Selling A Business




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The CBB Advantage:

M&A and Business Brokerage Firm Since 1974

Close  >60% of the businesses we list vs. 38% Industry Average

Consistently sold businesses within 94.5% of appraised price

We specialize and are experts in the Texas market.

Closed approx. 2,000 business transactions In Texas.

We are NOT a franchise

Authority on business transfer in our profession

Founding Members of the International Business Broker Association (IBBA)

Founding Member of the Texas Association of Business Brokers (TABB)

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.


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"The best library of articles about how to sell

your business "..... says The New York Times



It's been a month since we moved to our new location.

Come visit us at: 

12141 Wickchester Lane

Suite 100

Houston, Texas 77079 


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 


Presented by IBBA, M&A Source and in
Partnership with Pepperdine University

Who Has The Advantage:  Buyers or Sellers?
While sellers have a clear advantage in the lower middle market (LLM), advisor confidence is showing signs of decline. Year over year, advisors were less likely to report a seller's market sentiment for this sector. 

Where Are Business Values Trending?

Main Street valuation multiples haven't seen much change over the last seven quarters. Four out of 5 sectors stayed the same or increased from a multiple standpoint. The lower middle market is the bright spot in this quarter's survey, recording a record 5.5 multiple of EBITDA, the best we've seen over the last seven quarters.


Market Pulse Quarterly Report Shows Retirement is the No. 1 Reason Sellers Go to Market.  Strategies for Selling Large and Small Businesses Are Very Different:


The quarterly Market Pulse Survey published by the International Business Brokers Association (IBBA), M&A Source and the Pepperdine Private Capital Markets Project found that retirement is the number one reason sellers go to market, but the type of buyer varies with business size as does the approach for ensuring a successful transaction.

In the smallest deal category (businesses valued at under $500K) first-time buyers accounted for the largest buyer segment at 43%. More than half (51%) of buyers in the Main Street market are motivated by a desire to buy a job. That is, the buyer is looking to leave corporate America and be active full-time in the business. It is critical for these buyers to have a clear understanding of the business costs and the current owner's lifestyle.

On the other hand, buyers in the lower middle market are more often expanding an existing business through a horizontal or vertical add-on. In the largest deal category (businesses valued between $5 million to $50 million), private equity firms comprised the largest buyer group representing 43% of buyers. Larger businesses are typically purchased by educated and professional buyers who are interested in acquiring the company's current labor force, property, and customer base.

Read the full report on the M&A Source website


Ask The ExpertsQuestion Ask The Experts


What Characteristics Can Cause A Business Acquisition From Qualifying For SBA Financing?
Some of the scenarios that cause financial institutions to reject an acquisition loan include: 

  *  Inadequate SDE (Seller's Discretionary Earnings)

  *  Business not priced right in relation to its SDE

  *  Buyer with insufficient cash for the down payment

      and working capital needs of the business

  *  Buyer with inadequate experience in the industry

  *  Business with a high customer concentration risk factor

  *  Current year's interim financial statements indicate

      decreasing operating results vs. historical financial statements

  *  Buyer unable to secure a lease term to match the loan term 

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.




California Job Growth In The Moving Industry: Businesses Leaving For Texas


Central Texas Fastest Growing Area In U.S.


California Loses Another Aviation Company To Texas


Salt Lake City-Based Salarius Pharmaceuticals Is Relocating To Houston


Census Bureau: 5 Texas Suburbs Make Fastest Growing U.S. Cities List


Texas Takes A Lickin' But Keeps On Tickin'


Texas High-Speed Train Project Takes Land From Texans & Jobs To Japan


CEOs Rank Texas As Best State For Business For The 12th Consecutive Year


Houston Nabs Mitsubishi Subsidiary Headquarters From New York


Jamba Juice Is Moving Its Headquarters From California to Texas


"Their Exes Live In Texas": California Tops States Feeding TX Population Growth


Texas Sees 7% Increase In New Business Creations In April


Pennsylvania Upstream energy company files Chapter 11, reportedly may move HQ to Houston


2015 Was A Corporate Buyout Bonanza: Here Comes The Sequel


General Electric Co.'s Power Conversion Business Is Moving Its North America HQ from Pisttsburgh To Houston


Q1 Housing Inventory In Texas Hits All-Time Low, Indicating Enduring Demand For Texas Real Estate


Why Foreign Buyers Are Snapping Up U.S. Companies - WSJ


No Disputing It: Small Businesses Are An Economic Force Worth Celebrating



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