Why 2013 Saw a Rise in Small Business Sales in California

If you are contemplating selling your business in the state of California, it may interest you to know that business sales for 2013 were up from 2012. Selling a business is a big and sometimes difficult decision. Even so, many business owners find this recent increase in sales to be quite comforting, especially if they want some security to know that there is a stronger market out there for selling. In fact, many potential buyers hope that these positive numbers will induce more businesses on the fence about listing their business will knowing that the market is in a healthier place for business sales in the state.

Small Business Sales Increase in California

The rate of small business sale has increased throughout the Golden State. In 2012, reports show that 14,368 small business operations were sold in total. In 2013, that number grew to 14,764 completed sale transactions. Of course, experts suggest that the increase may not be felt as substantially in some counties as others, which is typically to be expected, but that overall these good numbers reflect a new trend in upward sales that is likely to continue in 2014. Many factors appear to be linked to the increase, but one of the main reasons why these sales are going through is because buyers have better access to funding sources.

Sales in Large Counties Mixed

Some of California’s largest counties may not be feeling the increase yet, but that likelihood could change as more California businesses may be hitting the market for sale in 2014. Certainly, large counties like Los Angeles County are hoping to see more sales as a thriving business-for-sale market is a strong indication of an overall strong economy. Increased business sales are linked to better job growth too. The increase is doubly important in light of the fact that the state was losing businesses at a rate of about five percent.

What is Triggering the Rise?

While better access to money is at the heart of the increase, there may be other factors involved. For instance, experts believe that an improving house market as well as an improved stock market may also be supporting the increase in California business sales. Many small business owners also appeared to be waiting to list their business for sale in California until the market began to shape up.

Do You Have a California Business for Sale or Want to Buy One?

Increases or decreases aside, it can help the process of buying and selling to contract with a business broker. Their services can help viable buyers and sellers to sync up more quickly and effectively. Business brokers stay current with the sale market and understand the ins and outs of the buying and selling process. Their expertise can certainly impact the nature of the sale and the time frame in which a sale can be made. Contact a business broker if you plan to sell your California business or hope to purchase one.

Logo Design Tips – Small Businesses

When you intend to do something, if you don’t know the ins and outs of it, then the chances are that you won’t be able to get quality stuff. Also, the chances of getting defrauded increase significantly. But, the problem is that you can’t become an expert in each and every field in this world. Hence, what you need to do is to acquire the expertise of a reliable and experienced person or company. Now, the same thing can be applied to the design industry. When you are willing to create a logo design for your business, then you need to know who to hire and what to look for to ensure that you get more for your money and that you don’t end up losing your money.

So, let’s discuss some important things that you should do and look for to ensure that you create your brand identity / logo design in an influential way.

Hire a Professional Designer: This is something extremely important. Will you ever hire an unprofessional to fix your roof or ceiling? No, you will never take the risk, because you don’t want your ceiling to collapse. So, if you take the risk of hiring an unprofessional designer, then the chances will increase that sooner or later your business will collapse due to its cheap image and identity. Don’t just go and hire a graphic designer. Make sure that you actually hire a professional logo designer with vast experience in creating logos for small businesses.

Get Many Logo Design Concepts: Once you feel interested in hiring a designer or company, you need to first check their packages. It is advisable to get a package with several concepts. This will assist you in making a decision easily and conveniently. As it is important to create your business image effectively, having several concepts will enable you to mix different ideas that you will get through different concepts. So, never go for 1 concept. Always ask more several concepts.

Get Unlimited Revisions: It is not really possible to get the logo done in the first attempt. So, it is advisable to tell your designer to give you unlimited revisions. A lot of companies and designers will give you a limited number of revisions. Don’t be fooled by that, because after they provide you with the set number of revisions and if you are not satisfied, then you will lose your money. So, go for a logo design company that offers unlimited revisions with their packages.

Free Stuff: Sooner or later you will be needing stationery for your business. A lot of logo design companies offer free stationery designs with some of their logo design packages. It is advisable to get them now, because later you will end up paying more for them. So, look for an affordable logo design package that also offers free stationery designs. This will include: Business Card Design, Letterhead Design and Envelope Design. All these things are important for businesses and if you can get them for free then there is nothing better than that.

7 Tips For Selecting the Best Small Business Brokers to Sell Your Business

Are you thinking about selling your business? Have you ever gone through the process before? Are you confidant that you can do it yourself? Where would your time be better spent, running your business at peak performance while trying to sell it, or focused on the advertising campaign, networking, negotiating, and coordinating the closure of the sale of your business? Maybe you should consider doing what you do best, running the business, and search out small business brokers and let them do what they do best, sell businesses. If you go that route, here are 7 tips to choosing a business broker that makes sense for you.

1. Don’t get lost in the shuffle

You want your broker to have a proven record and a great reputation but you don’t want the organization to be so big that your deal is passed off to a junior staffer. You want the active involvement of the principals.

2. Do your due diligence

You’re about to engage the services of someone that is going to have a big impact on your financial life. Make sure you are comfortable with the relationship. Check with the International Business Brokers Association and see if your broker is a member in good standing. Follow up on the references provided and determine just how satisfied past clients are. Check with your local better business bureau and see if there are any unresolved complaints.

3. Use a specialist

Real estate agents and other professionals sometimes hold themselves out as business brokers on a part time basis. You want someone who makes their entire living selling businesses full time. Preferably somebody who has experience in your particular industry and someone who can point to successful sales they have made for your competitors.

4. Avoid heavy up front fee structures

Typically a business broker will charge between 10% and 15% of the sale price as a fee. While it is customary for them to ask for some up front fees to initiate the process, avoid those brokers who are looking for greater than a third. Also make sure that the up front fee is deductible from the sales fee when the business sells. Following this advice will save you from having to invest a ton of cash before you actually sell the business.

5. Only contract for the business selling services

Smaller business brokers will offer accounting and legal services that you will need during closing for an additional fee and these services are typically outsourced by the broker. It may be to your advantage to contract for those services directly leaving the broker with only the requirement to focus on the selling process and not generating add on fees.

6. Share your expectations

Before you select a broker you should have at least a general idea of what you want to accomplish by selling your business. You should have a rough valuation number and you should know if you want a cash sale or stock. Share this with the broker and see if he agrees with your plan. While there probably will be differences in valuation, your broker should be in tune with the rest of your objectives. If he’s reluctant or believes that it will be difficult to achieve your goals, find another broker.

7. Keep the whole process confidential

The last thing you want to do is let the word that you are seeking a business broker or that you are in negotiations with a buyer leak out. Once it becomes common knowledge that you are selling, your relationships with your employees, customers, vendors and bankers could be adversely affected. Have an exit plan for after the sale that includes sharing the news with all those listed above.

Using business brokers to help sell a business is usually the smart route to take for any business of substance. You want your organization to have as much “curb appeal” as possible during the process and that means you should be focusing your time on optimizing the business not chasing down buyers.

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