Book value is the accounting value of a firm and often bears little relation to an asset’s market value. It is a generally accepted accounting principal (GAAP) term that reflects the net dollar value at which the historical cost of assets are recorded on a firm’s balance sheet and represents the price paid for an…
Category: Business
Steps on How to Start A Business With No Cash Capital
As the economy continues to fluctuate, more and more people are realizing the importance of investing in and starting a business. Not everyone is able to realize that goal, though. The most common challenge that gets in their way is the lack of capital to start the business they want. Sometimes, even if all the…
Covenants in Definitive Purchase Agreements
A major feature in business purchase and sale agreements is the inclusion of “covenants” which detail the promises being made to either party to perform a task or refrain from an activity during the period between the definitive purchase agreement execution and the transaction closing. Litigation can be pursued, for losses, damages, or other remedies…
Getting Investors to Notice Your Business
For some businesses, private equity (venture capital, angel capital, SBIC) is the only way to go for growth funding while other businesses should not even consider wasting their time chasing these kinds of funding sources. Private equity players receive hundreds, if not thousands, of business plans each month. And, no matter how big the firm,…
Why the Beauty Industry Hates Men (Part IV): A Challenge to the Beauty Industry to Man-Up!
A Challenge to the Beauty Industry to Man-Up! Industry Story: Default or Design? The story of an industry is often a tale more of default than design. That is, when we step back and trace the evolution of an industry, we typically see that things ‘are the way they are’, because that’s just how the…
Capital Consulting Firm Offers Smart Business Financing Solutions
Will 2011 be your turnaround year? Your time for expansion and growth?Don’t let insufficient capital stop your business in its tracks! Lack of capital is a critical challenge for many successful businesses – particularly in the tough economy of the last few years. Business growth and expansion are often limited by availability of discretionary funds….
Financial Risk of Venturing For a Capital
Business plans made by an individual requires a strategic plan that is sure to make a business grow. When you decide to put up your own business, a need for you to release an enough amount of money is required. Every business involves money since this is the main foundation of everything related to business….
Part 5 – Transaction Teams in Business Acquisition and Sales – Finance Company
The tightened credit market and slow economy that the United States has experienced over the last two to three years has caused a modification in the loan criteria for many traditional lenders resulting in a restriction of financing available to fund business acquisitions. Securing financing for the purchase of an established business is one of…
Part 4 – Transaction Teams in Business Acquisition and Sales – Attorney
Attorneys generally specialize in a number of the common practice areas, such as estate planning, family law, real estate, personal injury, bankruptcy, criminal defense, and business law. While there are areas of overlap within the business law discipline, two types of lawyers are traditionally recognized – “litigation” lawyers, handing business lawsuits and “transaction” lawyers who…
Part 2 – Transaction Teams in Business Acquisition and Sales – Business Broker
Business intermediaries provide a number of critical services to assist buyers and sellers of privately owned companies navigate the complex acquisition and sales process. Intermediaries typically specialize within their field, similar to attorneys and accountants. The specialization might be oriented to the size of the company (main-street or middle market), a focus on a particular…
Part 6 – Transaction Teams in Business Acquisition and Sales – Valuation Firm
For both business sellers and buyers it is imperative that they understand how the company is valued and the specific methodology used to derive this value. When a business is formally listed for sale it is typically accompanied with a ‘Business Valuation’ report or an ‘Opinion of Value’ report prepared by either a business broker…
Part 1 – Transaction Teams in Business Acquisition and Sales
A successful business acquisition or sale involves a number of complex issues that require a team of professional advisors in the accounting, legal, finance, and valuation fields. These industries are extremely broad with well over one million accountants and attorneys in the U.S. alone. It is nearly impossible for one of these professionals to develop…
Part 3 – Transaction Teams in Business Acquisition and Sales – CPA
Many people will utilize the term “Accountant” & “CPA” interchangeably (or as synonyms) not realizing that there is a huge difference. A Certified Public Accountant (CPA) is licensed by the state and carries enormous clout in financial and business circles. To qualify, the professional is required to undergo an intense and comprehensive process that involves…
Getting Quick Results From Executives You Recruit
You know the drill. An acquisition occurs and some executive changes may be needed. Generally speaking this decision was made before the deal was consummated. If changes are needed, a plan is in place, a search firm is retained, new hires occur and results are assumed. It often does not happen according to plan. Some…
The World of Medical Device Venture Capital
The medical industry is very serious. For one, everyone’s well being and life hinges on it, as does plenty of study and innovation. Medicines, research and equipment are in the need of constant funding, which is why the world of medical device venture capital is taken very seriously. When looking at medical device venture capital,…
Why the Beauty Industry Hates Men (Part V): The Beauty Industry and Missed Opportunities
The Beauty Industry and Missed Opportunities: Lessons from the IT Sector and The Writing on the Wall. In business, we’ve all played the “if I only knew then what I know now…” game. And yes, most – if not all – of us would lunge at the opportunity to jump into a time machine and…
The Importance of Venture Capital for Start-Up Businesses
Venture Capital is a finance that is furnished to start-up companies that have high potential growth but are too small to raise capital and are not yet capable of obtaining a bank loan. The ventured capital fund which is also called as seed capital makes money in exchange for an equity stake of the company…
What Does It Take to Get Project Funding in 2011 (Part 2)?
Funding your International Projects has become more available, but not the way that most developers have been accustomed to over the years. If you are looking for funding for your Development Project Funding or Venture Capital Financing recently, you will know exactly what I mean. The most effective method for your International Project Financing is…
What to Remember When Contacting Venture Capitalists
Venture capital firms receive so many inquiries from entrepreneurs seeking capital that they have erected high barriers to make it difficult for entrepreneurs to contact them. But the nice thing about a wall is that there’s usually a way around it. Keep Your Submission ShortThe initial contact information you send should be just a cover…
What Does It Take to Get Project Funding in 2011 (Part 1)?
Funding your International Projects has become more available, but not the way that most developers have been accustomed to over the years. If you are looking for funding for your Development Project Funding or Venture Capital Financing recently, you will know exactly what I mean. Most large ticket funding now is done with various Trade…