Tag Archives: Bill Kraemer

Sold Your Business? What’s Next?

Leave a reply

Sold Your Business? Congrats! Here’s an Idea for What to Do Next.

You’ve spent years building a successful business, and the time has finally come to sell it. The long hours, working weekends, risks, and investments have all paid off. It’s time to hand the reins over to a new owner who will continue to improve on the strong foundation you built.

But if you’re like most entrepreneurs, the cabin life and mornings on the golf course won’t be enough. You’re sitting on a large sum of money from the sale of your business, and you’re eager to find a new opportunity.

We have an idea that can satisfy your need for more R&R with family and that entrepreneurial itch: the family office.

What is a family office?

A family office is a physical or virtual team of family and outside professionals, you bring together to oversee your assets and investments holistically. It’s a very active, hands-on approach to managing your money so it lasts through the end of your life and perhaps into the lives of your children and grandchildren.

What types of assets does a family office manage?

All of them! Most entrepreneurs who sell their businesses have a mix of cash, real estate, private equity, and traditional retirement and other investment accounts. Add that to their spouse’s assets, and there is some serious money to manage.

You may wish to coordinate your estate planning, insurance, trusts, accounting, tax, legal, and philanthropy through your family office. Each one of these areas may require an expert’s help: CPA, bookkeeper, estate planning attorney, and insurance agent. While these professionals may not work in-house at your family office, they will coordinate with your family and each other to manage your assets responsibly.

Who benefits from a family office?

You and your family do. Managing the operations of a family office can ease the transition from business owner to retiree. It also engages your spouse, children, and grandchildren. They’re empowered to make decisions on how and when to grow your assets and what philanthropic projects the family should support.

The family office is an often overlooked option for entrepreneurs who are ready to sell but not ready to fully retire. For help starting a family office for you and your loved ones, contact Opportunities in Business today.

How to Prepare Your Business to Sell

1 Reply

Selling a business is a milestone most business owners will eventually encounter. Whether motivated by retirement, potential profit, or external circumstances, selling a business is a high-stakes undertaking and demands plenty of due diligence to ensure the best outcome.

Even if you’re not ready to sell, it’s smart to view your business through a buyer’s lens. Just as you’d want to keep your home in good condition in case you suddenly need to put it on the market, you benefit from a business in which loose ends are tied up and books and documents are in order.

Here are 5 steps to take to ensure that your business is ready to go on the market and attract top-value offers.

First…Obtain a business valuation. Hire an experienced professional entity to analyze your business and establish its value. Business brokers, investment banking firms and accounting firms offer this service. Find one with experience in your industry, and get an objective assessment of your business’s financial situation, market position, strengths, and weaknesses. Opportunities in Business has been doing valuations for over 30 years.

Second…Put your books in order. Buyers typically require at least a three-year financial track record, and it’s important that your taxes are up to date and in order.

Third…Review and organize all legal paperwork. Track down all permits, leases, incorporation papers, licensing agreements, vendor contracts, customer contracts, etc..

Fourth…Focus on sales and growth. Buyers will closely examine the growth potential of your company. As you ramp up to putting your business on the market, it’s a good strategy to grow your sales efforts and invest in growth initiatives. Don’t focus exclusively on gross revenue; most buyers will rely on net or EBITDA (earnings before interest, taxes, depreciation, and amortization). An attractive EBITDA is key to a higher price.

Fifth…Perform a SWOT analysis, defining your strengths, weaknesses, opportunities, and threats. Buyers will negotiate by targeting your weaknesses and threats: you’ve got to be prepared to defend yourself, and to counter with emphasis on strengths and opportunities. Identify and address problems now. If you have fires, put them out. If you have skeletons, rehearse how to explain them succinctly and clearly, and then move on.

If you’d like to talk to an expert about your business and what you need to do to sell it, please give us a call at 612-331-8392.

Buys and Sells used “one of a kind” Architectural / Building / Antique items.

Leave a reply

door-2-1[1]

TYPE OF BUSINESS: This well established salvage yard, which was established over 50 years ago by the current owner, buys and sells used “one of a kind” Architectural / Building / Antique items for residential and commercial properties. Samples of the products are lighting, fireplace mantels, buffets, lumber, hardware, doors and windows. The business is well known for their outstanding selection.  The owner’s responsibilities are to oversee the operation and purchase the used inventory.  Owner is willing to work with a new owner after the business has been sold to insure a smooth transition. Hours of operation are 8:00a.m. – 5:00p.m. Monday – Friday and Saturday 8:00a.m. – 1:00p.m. The potential to grow this business is tremendous.   A new owner would want to have all their products available through the internet. Currently, the business has a web site but needs a major upgrade.  This is the largest company of this type in Minnesota. There is a tremendous opportunity to sell these products over the internet.

 

FACILITY:  This business operates in a free standing 93,000 sq. ft. Seller willing to give new owner rent free (building only) for up to 2 years.  The business must re-locate.

 

EMPLOYEES: 6 full-time and 5 part-time employees.

 

GROSS SALES/CASH FLOW:  The gross sales for 2012 were approximately $800,000, 2011 were $792,500; 2010 were $1,008,350 and 2009 were $1,046,450. Based on 2012 sales, the owner reports that cash flow was approximately $118,000 ++.

 

ASKING PRICE: The asking price for the business is $250,000, which includes equipment, furniture and fixtures (estimated value $200,000).  The owner is willing to sell the inventory to the buyer on a consignment or floor plan basis.  The buyer will not have to pay for the inventory until it is sold.  The cost of the inventory to the buyer will be negotiated between buyer and owner.  The owner indicates that the cost of the inventory is in excess of $1,000,000.

 

REASON FOR SALE:  The owner is tired and wants to retire.

 

Important Notice:  The above information has been provided by the Seller.  Neither The 20/20 Group, Inc. (dba Opportunities In Business) nor its agents guarantee its accuracy or comprehensiveness.   7670  b.k.

Beautiful Clothing / Jewelry Boutique located in Stil

Leave a reply

scarf-shopping-woman[1]

TYPE OF BUSINESS: Beautiful Clothing / Jewelry Boutique; Prime location on Main Street in historical Stillwater that is surrounded by popular restaurants and retail businesses. The business was established in 2010 and offers a unique shopping experience. This beautiful store specializes in the sale of wide range of women’s apparel, jewelry, shoes, hats, accessories and more. This is a very easy business to operate and would be perfect for the first time buyer. Hours of operation are; Monday – Sunday 9:00 to 10:00 in summer and 10:00 to 5:00 in winter.  The owner does not work the business – however, his responsibilities include: Bookkeeping and Staffing.

 

FACILITY:  This business is located in a prime location on Main Street. The business operates in about 1,800 square feet. Monthly rent is $3,300.  The lease expires in 2014, and there is an option.

 

EMPLOYEES:  Again, the owner doesn’t work the store. Business operates with 2 full-time and 8 part-time employees.  Their hourly wages are between $8.00 and $10.00 per hour.

 

GROSS SALES/CASH FLOW:  The gross sales for 2012 were approximately $263,000; cash flow was approximately $70,000 for an owner operator based on 2012 sales.

 

ASKING PRICE: The asking price for the business is $70,000 plus inventory. This includes the furniture, fixtures, equipment, website, phone number, client and vendor list.  The value of these assets is approximately $30,000. Inventory is approximately $50,000 at cost.

 

REASON FOR SALE:  Owner is re-locating.

 

 

 

Important Notice:  The above information has been provided by the Seller.  Neither The 20/20 Group, Inc. (dba Opportunities In Business) nor its agents guarantee its accuracy or comprehensiveness.  7750 b.k.

Beautiful Car Wash was remodeled in 2008 from top to bottom.

1 Reply

OLYMPUS DIGITAL CAMERA

TYPE OF BUSINESS: This beautiful Car Wash was remodeled in 2008 from top to bottom. The owner of this carwash has done an excellent job maintaining the building, equipment and property. “New” Express Tunnel concept. High volume, low overhead, terrific location. Sale includes business, equipment, building / land. Major thoroughfare with 24,000 cars passing by daily. Business located 1 ½ hours South East of Metro.

 

FACILITY: 3,900 SF building located on 3/4 acres of land next to a major Grocery store. State of the art components complement this car wash. The Enduro Class 115 ft. length tunnel system is a versatile system delivering maximum cleaning power in a flexible soft cloth car wash system. The P.O.S. system and E-300 auto sales manager is a great fit for those who wish to add an additional profit center to an existing facility. Minimum maintenance and near zero downtime with the Belanger Wave Car Wash. Property tax is $10,522 for 2012.

 

EMPLOYEES: Business runs with minimum employees. Two people can run this automatic car wash. The owner has two part-time employees plus himself.

 

GROSS SALES: Gross sales for 2012 were $140,000. Cash Flow for 2012 was approx… $52,000 for owner operator. During peak times the Enduro system has the ability to averaged 50 to 80 cars per hour during peak times in the winter.

 

ASKING PRICE: The seller is asking $699,000. Included in sale is the Business, $7,000 in inventory, $250,000 in Equipment, Furniture, Fixtures and Building & Property valued at $350,000 (based on 2012 property taxes).

 

REASON FOR SELLING: Seller has two other businesses.

 

 

Important Notice: The above information has been provided by the seller, neither The 20/20 Group

(d.b.a. Opportunities In Business) nor it’s agents has verified it’s accuracy or comprehensiveness.

7743  b.k.

Automotive aftermarket parts and distribution business.

1 Reply

TYPE OF BUSINESS:  Automotive aftermarket parts and distribution business, established over 40 years ago. This business is located in south metro area next to a major freeway for easy accessibility to the entire Twin Cities area. This business “specializes” in a few parts that give them the competitive advantages over typical parts distributors.  All of the product are high quality, meet dealer specifications and are covered by the manufacturer’s warranty.  This business requires a large amount of inventory to satisfy their long term customers.  The main customers are repair shops, auto dealerships and they do sales to consumers.  The business also sells on the internet thru its eBay store.  The business is known for its ability to source parts from multiple suppliers and to locate parts unavailable from other wholesalers allowing for competitive prices along with obtaining good margins.

 

FACILITY: The business operates from a 5,045 square foot facility that includes an office and a large warehouse with two docks and two drive-in bays. Lease expires in June 2013 with an option. This business could be re-located into a smaller warehouse; owner suggests a 3,500 square foot facility would be perfect.

 

EMPLOYEES: The business operates with the owner and 1 part- time employee. The business could use a full-time marketing / sales person. The Owner is willing to continue working in a warehouse management position.

 

GROSS SALES: 2012 sales were approximately $400,000; 2011 were approximately $420,000. Cash Flow was approximately $48,000 in 2012.

 

ASKING PRICE:  The owner is asking $80,000 plus inventory.  Included in the sale is about $25,000 of equipment.  Inventory is valued at $95,000.

 

REASON FOR SALE:  Lack of working capital.

 

 

IMPORTANT NOTICE: The above information has been provided by the Seller. Neither The 20/20 Group, Inc. (d.b.a. Opportunities In Business) nor it’s agents guarantee it’s accuracy or comprehensiveness.  7734 b. k.

Profitable Retail Clothing Boutique.

2 Replies

TYPE OF BUSINESS: Profitable Retail Clothing Boutique; Located on busy Main Street in historical Stillwater that is surrounded by popular restaurants and retail businesses. This business offers a unique shopping experience and is often praised for the array of merchandise offered to its customers. This highly profitable store specializes in the sale of men’s and women’s apparel, jewelry, shoes, accessories and more. This is a very easy business to operate and would be perfect for the first time buyer. Hours of operation are; Monday – Sunday 9:00 to 10:00 in summer and 10:00 to 5:00 in winter.  The owner does not work the business – however, his responsibilities include: Bookkeeping and Staffing.

 

FACILITY:  This business is located on the main street in an ideal location.  The business operates in about 2,000 square feet. Monthly rent is $3,750.  The lease expires in 2016, and there is an option.

 

EMPLOYEES:  Again, the owner doesn’t work the store. Business operates with 2 full-time and 10 part-time employees.  Their hourly wages are between $8.00 and $10.00 per hour.

 

GROSS SALES/CASH FLOW:  The gross sales for 2012 were approximately $400,000; cash flow was approximately $100,000 for an owner operator based on 2012 sales.

 

ASKING PRICE: The asking price for the business is $175,000 plus inventory. This includes the furniture, fixtures, equipment, website, phone number, client and vendor list and brand names.  The value of these assets is approximately $50,000. Inventory is approximately $100,000 at cost.

 

REASON FOR SALE:  Owner is re-locating.

 

 

 

Important Notice:  The above information has been provided by the Seller.  Neither The 20/20 Group, Inc. (dba Opportunities In Business) nor its agents guarantee its accuracy or comprehensiveness.  7735 b.k.

Sports Bar, Restaurant and Event Center.

Leave a reply

Woman toasting

TYPE OF BUSINESS:   Sports Bar, Restaurant and Event Center, This business was established over 15 years ago and the current owners have operated the business since 2004. The Bar area includes Pool Tables, Darts, Foosball Table, Juke Box, Flat Screen TV’s, Pull Tabs, Outdoor Volleyball Courts with plenty of Sport Decor and Beer Signs. Restaurant serves Breakfast, Lunch and Dinner 7 days a week. The Event Space has two separate rooms, one room seats up to 50 people and works great for Corporate Meetings, Groom’s Dinners, Bridal Showers and Personal Parties. The large room seats up to 450 people for Weddings, Trade Shows, Corp. Holiday Parties and Bands etc. There is tremendous potential to increase sales and profits by maximizing the Event Space, Catering and Outdoor Space. 15++ events booked so far in 2013.This business is located about 1 1/2 hours north of the metro.

 

FACILITY: The Business operates in approximately 11,250 sq. ft. building with a new roof and fresh paint on the outside of building summer of 2012 with a large asphalt parking lot.

 

EMPLOYEES:  1 owner absent and 1 owner operator with 7 part time employees.

 

GROSS SALES/CASH FLOW: Gross sales for 2011 were $393,843 and 2010 were $438,000.

ASKING PRICE: The owner is asking $135,000 for the business, which includes furniture, fixtures, equipment and inventory, valued approximately $120,000 and $490,000 for the Building and Property. This is a turnkey operation and an outstanding opportunity for someone who has hospitality / event experience. SELLER WILLING TO OFFER CONTRACT FOR DEED TO A QUALIFIED BUYER.

 

REASON FOR SALE:  Retirement.

 

 

Important Notice: The above information has been provided by the Seller.  Neither

The 20/20 Group, Inc. (d.b.a. Opportunities In Business) nor its agents guarantee its accuracy or comprehensiveness. 7710, 7711  b.k.

 

Restaurant, Bar, Off-Sale and Ballroom Facility.

Leave a reply

red_wine_salad

TYPE OF BUSINESS:   Very nice food and beverage business with 4 profit centers; restaurant, bar, off-sale and ballroom facility.  This business was established in 1955 and the current owners have operated business since 2005.  The business appears to enjoy a very loyal customer base. The bar area includes games and a nice lounge area.  The dining room has a full menu.  The ballroom has a separate bar, kitchen and stage.  The ballroom has a capacity of several hundred people.  The owners indicate that there is tremendous potential to increase sales and profits by maximizing the ballroom space, adding live entertainment and catering and being open on Sundays.  Hours are Monday – Friday 10:00 a.m. to 1:00a.m. and Saturday 9:00a.m. To 1:00a.m. This business is located about 1 hour west of the metro.

 

FACILITY: The Business operates in about 18,000 square feet of beautifully appointed space with plenty of parking.

 

EMPLOYEES:  2 owner operators with 1 full-time and 16 part time employees.

 

GROSS SALES/CASH FLOW: Gross sales for 2011 were $837,650, Gross sales in 2012 were $865,745. Cash Flow in 2012 is approx. $176,000

ASKING PRICE: The owner is asking $374,000 for the business, which includes  furniture, fixtures and equipment valued at about $100,000, off sale liquor Inventory of $39,000, food and liquor inventory in bar and restaurant of $15,000. The asking price on the Building and Property is $325,000. This is a turnkey operation and an outstanding opportunity for someone who has hospitality / event experience and wants to be their own boss. Seller is willing to provide some financing to a qualified Buyer.

 

REASON FOR SALE:  Pursue other interests.

 

 

Important Notice: The above information has been provided by the Seller.  Neither

The 20/20 Group, Inc. (d.b.a. Opportunities In Business) nor its agents guarantee its accuracy or comprehensiveness. 7699 b.k.

Deck Restoration Business established 15 years ago.

Leave a reply

deck railT

TYPE OF BUSINESS: Deck Restoration Business established 15 years ago. This is a seasonal business ideal for someone that enjoys working outdoors. This business has a great website that generates 100 + quality leads every season and is rated very high on “Angies List”. Well organized client list with detailed notes, emails, product colors and pricing. This business is not limited to decks, but can include at the owners discretion; fences, playground sets, docks, gazebos to name a few. They use top of the line stains, preservatives and sealers meticulously applied by hand. They turn down approximately 50% of their leads due to owner has a full-time job (over 60 hours per week) and doesn’t want to take on more business. Seller is very motivated due to the season is about to start and he wants all his clients are taken care of.

 

 

FACILITY: The business currently operates out of the home. To operate business, 1,000 square feet is recommended.

 

EMPLOYEES: The owner works 1 hour per week to run payroll. During the season they have three full-time employees.

 

 

GROSS SALES: Gross sales for 2012 were $27,000 with a cash flow approximately $6,000. Gross sales for 2011 were $28,400.

 

ASKING PRICE: The owner is asking $16,000 for the business. This includes all the assets of the business; client list, website, phone numbers, approximately $5,000 in equipment.

 

REASON FOR SALE:  Too busy with full-time job.

 

Important Notice: The above information has been provided by the Seller.  NeitherThe 20/20 Group, Inc. (d.b.a. Opportunities in Business) nor its agents guarantee its accuracy or comprehensiveness. 7747  b.k