Educational Programs for Business Owners

Business owners over 45 (61% of all owners) should have a plan to ‘cash out’ of their businesses when the time is right – but almost none do. Making matters worse: a recent study by SPARDATA Value Advisors found owners misjudge the value of their businesses by 58.9% on average, so most don’t even know what they’ve got. Brad Davidson, SPARDATA’s president and a nationally recognized speaker, will describe a three-step process owners should follow to cash out of their businesses when the time is right – on their terms, not someone else’s. If your business represents your retirement nest-egg…if it provides the money your family depends on to live…if you plan to sell it someday (to a competitor, or a family member or key employee)…you have got to attend this presentation!

A recent study by SPARDATA Value Advisors found owners misjudge the value of their businesses by 58.9% on average. Another interesting fact: 70% of all businesses fail within 10 years. Brad Davidson, president of SPARDATA and a nationally prominent valuation expert, believes these facts are related. Often businesses fail when their owners reach a ‘valuation milestones’ (there are three) and because they misunderstood what their company was worth, commit a fatal blunder.

You are invited to hear Mr. Davidson give a powerful, non-technical presentation called What Is Your Business Worth (And Why You Need To Know). If your business provides the money your family depends on to live … if it represents your retirement nest-egg … if you plan to sell it someday (or pass it along to employees or family members) … you need to attend this presentation.

Most middle-aged owners of successful businesses are troubled by a question none of their advisors ever seems to want to discuss: how will they cash out of their businesses when the time comes to retire? Waiting until the last minute is never a good strategy if you want to exit your business on your terms. As the old adage says, ‘failing to plan is planning to fail’. In this session you’ll learn why the time to focus on cashing out is sooner rather than later.

Successfully “cashing out” starts with knowing what the business is worth, so owners should understand key concepts including the market, income and asset valuation approaches, and discounting for lack of marketability and lack of control. This session also considers the pros and cons of using ‘rules of thumb’, and addresses several common misperceptions about valuations.

Owners who find their businesses are worth less than expected often want a ‘profit roadmap’ to increase sales and/or cut costs, because both will boost a company’s value. This session shows how, if you know what to look for, your company’s financial statements provide a clear roadmap to higher profits.

There are six ways to cash out of a business: (1) sale to an outsider, (2) management buy-out, (3) ESOP, (4) private equity recapitalization, (5) gifting or (6) forced liquidation. This session analyzes the pros and cons of each – something you should understand and discuss with your advisors before selecting one.