Ready to sell? How to price your business
Your true net profit is the number that potential buyers will want to know.
Susie Pemberton, Centralia, Mo.
I live in a small town and own a child care facility. My gross income in 2008 was $126,134. Someone’s interested in buying it, and they’re waiting for me to give them a price. I understand that I need to “adjust” my expense report for 2008, but I’m not sure what to use for a multiplier. I’ve been in business for six years, and can see room for expansion in the future. How do I name my price?
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DiggWhat to pay the boss’s bosses
How much should you pay your company directors? First, take a hard look at what skills they’ll need to guide your business.
Paul Dzera, MGBD, New York City
What would you recommend for determining board of directors’ fee levels (annual retainer, board meeting fees, committee meeting fees, etc.), both in cash and stock options? I have a small public company with revenues of about $30 million. To date, I have reviewed the Director Compensation Report available through the National Association of Corporate Directors, but their “smaller” company information is for companies with revenues ranging from $50 million to $500 million.
Business triage: Kill what’s ailing
Some sales aren’t worth winning. If parts of your company are successful and others aren’t, it’s time to purge.
Sharron Stankiewicz, Ohio
I own three hearing aid businesses, all listed under the same corporate name but located in different areas. Two of them are going bust. Can I get out of my lease and still keep the one successful business running? What could the landlord do if I simply walked away from those leases where the businesses are failing?
My landlord wants rent on a broken lease!
Sorry, it’s legal, and you may even have to pay more than just the rent.
Richard Barker, Aprizona Florist, Covington, Ga.
Our business went south, and as a result we had to break our lease. Less than 30 days later, the landlord rented the space to a new tenant. Six months after that, we were served with papers demanding $12,000, which is the remaining rent on the lease. Is it legal for the landlord to collect rent from both new and old tenants?
How to get inventory when you’re low on cash
For retailers that don’t want the overhead of stockpiling merchandise, drop shipping can be a cost-saving option.
Mike, Queens, NY
I started a home-based wholesaling business six months ago and got four credit cards totaling $18,000. I was scammed out of $10,000 and invested another $4,000 into a Web site and advertising. Now my cards are almost maxed out, and I need the cash or credit to purchase merchandise. Business people tell me it takes a few years before turning a profit, but I’ve worked like the devil these past six months to finally get the contacts and deals I’ve been searching for, only now I don’t have the cash or the credit. Is there anything I can do?
Write-offs for work travel
Want to write off the cost of meals while you’re traveling? Here’s a rundown on what to deduct, and how.
Donna, Rome, N.Y.
My boss is an electrician and is working 4 hours away from his office. Can all his meals be deducted while away from his home office?
Cash incentives to go green
Environmentally friendly practices can help your business grow – and grants and low-interest loans are available to help.
John, Lynnwood, Wash.
“I’m looking to make my auto detail shop very green. Are there any government grants that I could get to convert everything to the greenest detail shop you’ve ever seen?”
Business grants: Sorting out the scams
Grants for small companies are almost as rare as unicorns. Here’s how to protect yourself against fraud.
Adriana Matteo, Warwick, R.I.
I’d like to start a small business and need a grant to start. How do I go about it and who do I need to contact? Everything seems to be a scam, but I know there are grants out there for young women who want to start a business.
Tech upgrades: What pays off, what doesn’t
Looking to sell your business? Some technology investments are worth the cost.
DC Kirstein, Softcare Computer Consulting Co., Pittsburgh
Do you have any articles that link updating your company’s technology and selling your business? I believe that simply improving a company’s technology can help increase its resale value. Is this true?
When to get tough with a deadbeat client
Expert tips for picking clients wisely and getting paid on time.
Denise Haney, Orem, Utah
How can I get our clients to pay up? There’s a fine balance between getting our money and losing them as clients – but when invoices are past 100 days, isn’t it time to get tough?
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