WT Value: A Refresher

on Wednesday, 19 April 2017.

WT Value: A Refresher

Back when we launched WT Value in early 2016 we reported on research from the Exit Planning Institute that said 70 to 80 percent of businesses put on the market don’t sell, and of those that did sell, three-quarters of the owners ‘profoundly regretted’ the decision twelve months later.

Part of the problem was that many business owners didn’t understand all the options available to them, and even more had no written or even informal business plan for making the transition. It’s no wonder then that many felt they were left high and dry once they sold up and retired.

Selling a business is tough, but leaving on your terms, whether its retirement or just stepping back from day-to-day management, is even tougher. Which is where WT Value comes in.

WT Value: Cover your assets

on Wednesday, 19 April 2017.

hands protecting asset small

WT Value: Cover your Assets

When you run your own business its not enough just to make stuff, sell stuff, pay the bills, pay the team, and pay yourself … if you’re lucky. You need to protect your business, and as it grows both in size and value, so does the risk if you don’t.

What’s my business at risk from?

It would probably be quicker to ask, ‘what’s my business not at risk from?’. Business risk can come from customers, suppliers, staff, property, cash; pretty much every element of your business is exposed to potential risk of some kind. Small business especially can be at risk from:

  • Unpaid customer bills
  • Poor cashflow management
  • Unexpectedly high supplier bills
  • Poor credit terms from suppliers

 

Exit Planning: Protect The Hidden Assets of Your Business

on Wednesday, 19 April 2017.

 

The net worth of most businesses is captured in its balance sheet. Property, stock, debtor balances and cash are added together for a total asset balance. Creditor balances, loans, overdrafts and any tax owed generally make up liabilities. Assets minus Liabilities is the net worth of the business. 

While the net worth of a business is one factor when it comes to valuing it for sale, smart buyers also want to know the real market value. This can depend, among other things, on the state of a few hidden assets that may or may not make it to the balance sheet.

 

 

What is an Exit Plan?

on Wednesday, 19 April 2017.

 QuickWinsphoto1

 

What is an Exit Plan?

Like many Aussie business owners, you probably started your business from scratch and built it up over time. While you’ve worked hard to grow it to where it is today what you’ve probably never done is bought or, more importantly, sold a business. Which is why you need an Exit Plan.

Selling your business is only one of the options that a good Exit Plan should include, but it's a big one, and it takes preparation.An Exit Plan is the roadmap to selling your business for its maximum value and should include:

  • A statement of your business and personal goals
  • A current business valuation
  • A plan to maximise that value
  • An evaluation of the pros and cons of different strategies for exiting the business
  • Tax planning
  • A detailed action plan

A good Exit Plan guides you through the steps needed to achieve your business and personal goals when you exit, whether that’s three, five or ten years away.

The aim of an Exit Plan is to ensure the survival of your business, provide continuity to employees, customers and suppliers, and to preserve wealth for you and your family. Without it you’ll risk paying too much tax, being reactive not proactive, and selling for far less than the business is worth.

It’s never too soon, or too late, to start exit planning.

 

Are You Ready to Exit?

on Wednesday, 19 April 2017.

 

Grandparentschild2

Are You Ready to Exit?

“I wish I’d started planning sooner”; it’s a common theme with many owners exiting their business. Especially when unexpected events such as ill-health or divorce mean it happens sooner than you think. Which is why it pays – literally - to be ready as soon as possible.

 

 

Exit Planning FAQs

on Wednesday, 19 April 2017.

 Exit Planning FAQs

We’ve listed a few of the key questions we often get asked about Exit Planning.

When is the right time to sell my business?

How long will it take to sell?

Should I get help to sell?

What information will potential buyers want to review?

What are the major steps involved in selling a business?

For answers to these questions and more, read on.

 

WT Value: Cover your assets (Copy)

on Wednesday, 19 April 2017.

WT Value: Cover your Assets

When you run your own business its not enough just to make stuff, sell stuff, pay the bills, pay the team, and pay yourself … if you’re lucky. You need to protect your business, and as it grows both in size and value, so does the risk if you don’t.

What’s my business at risk from?

It would probably be quicker to ask, ‘what’s my business not at risk from?’. Business risk can come from customers, suppliers, staff, property, cash; pretty much every element of your business is exposed to potential risk of some kind. Small business especially can be at risk from:

  • Unpaid customer bills
  • Poor cashflow management
  • Unexpectedly high supplier bills
  • Poor credit terms from suppliers

 

WT Value: What is your business worth? Will it be enough to fund your retirement?

on Wednesday, 19 April 2017.

What is your business worth? Will it be enough to fund your retirement?

You might dream of spending your retirement on luxury cruises or perfecting your golf swing, but without a plan to exit your business, your “dream” may be just that.

Knowing what you want to do with your business in the future can seem challenging, but it’s a challenge you shouldn’t put off if you want to see your dreams come to fruition.

Too many business owners fail to develop a plan for exiting or leaving their business, and they often end up with a lifestyle that doesn’t match their goals.

Getting your business ready for the future - whether that involves selling up and paying for your retirement or confidently handing it over to the next generation - means knowing what your business is worth today and creating an exit or succession plan.

Exit Strategies: Keeping it in the Family

on Wednesday, 09 November 2016.

Building a successful business takes a lifetime, and when the time comes to leave it all behind you want to be confident your legacy will live on after you’ve gone. Of the many strategies for exiting your business handing it over to the next generations is still a popular one. 

But it’s easy to underestimate how complicated it can be to ensure the transition is smooth, free from potential stress or conflict, and concludes with your business reputation ... and your sanity ... intact.

Exit Strategies: Employing a General Manager

on Thursday, 30 June 2016.

Hands WEBThe most successful exit-ready businesses are standalone entities that keep performing even when the original owner is no longer at the helm.

Part of that comes from the routine of good management...

 

Five Steps to a Successful Business Sale

on Wednesday, 10 February 2016.

Successionphoto1. Know your business … and why you are selling

Most business owners sell their business through a broker. It’s a broker’s role to coordinate, advise, advocate, and liaise on your behalf with the team of professionals and potential buyers who will be involved in the process from beginning to end.

Prime your Business for a Successful Exit

on Wednesday, 10 February 2016.

Prime your Business for a Successful Exit

After putting in the hard yards building your business, finally deciding to move on can be an exciting and stressful time; but if you don’t get your house in order first it can also be a disappointing one.

Whether you want to sell up and retire, bring in outside investors, or just confidently hand over to the next generation, getting the best return from your business means looking for opportunities to create value.

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Brisbane Office

Phone: 07 2100 2646
Email: info@wtvalue.com.au
138 Juliette Street,
Greenslopes Qld 4121

138 Juliette Street Greenslopes QLD 4121