10 Reasons Why Now Is a Great Time to Sell

Transcript

Andy and Jessica welcome you to another episode of The Deal Board Podcast; this time, they are sharing the 10 reasons why this is a great year to sell in a market that has never been seen before. They are accompanied by Peter Lehrman, sharing his pulse on the M&A market. Peter is the CEO of AXIAL, which is an M&A portal that helps buyers and sellers make deals, and is a great partner of Transworld Business Advisors.

Listing of the week: Sam Curcio (New York) is selling a clothing retailer with three locations that offer a green solution to clothes shopping, which is the vintage and second-hand market. They do 20% of their sales online, which can be expanded. Total sales: Over $3.5 million. SDE: Over $1.6 million. Asking Price: $8 million with a downpayment of $6.5 million. The business is prequalified by two SBA lenders. It comes with $225,000 worth in inventory. This business has been working for the last 10 years. Call Sam Curcio at (646)470-9433 or email [email protected].

Key Takeaways

Key takeaways:

[1:40] Reason #1: Inventory is low (historically low!)

[2:34] Reason #2: If your business is making money it is the time to go!

[2:52] Reason #3: Because there is less inventory, valuations are creeping up.

[3:37] Reason #4: Interest rates are low.

[4:20] Reason #5: There is tons of money on the street.

[6:07] Reason #6: It is not always going to be a great time to sell.

[8:45] Reason #7: More business disruption is on the way.

[10:59] Reason #8: Hiring opportunities are scarce.

[12:30] Reason #9: Haven’t we seen enough? It is time to go!

[14:40] Reason #10: Life is short.

[16:18] Peter, founder of AXIO.

[17:44] Peter shares the story of AXIO.

[19:55] Peter shares why the market is great right now.

[23:03] What are the trends in 2021?

[26:30] What does Peter see moving forward?

[31:20] The average sale price increased by 40% to 50%.

[34:57] Peter talks about private equity historically.

[38:53] Deal of the week: Jessica Starks (Michigan) closed a business on metal artwork that ships its products throughout the USA. The buyer was a small equity group looking to grow small to medium size businesses. Price: $5 to 6 million range.

[42:45] Listing of the week: Sam Curcio (New York) is selling a clothing retailer with three locations in the vintage and second-hand market. Total sales: Over $3.5 million. SDE: Over $1.6 million. Asking Price: $8 million with a downpayment of $6.5 million. The business is prequalified by two SBA lenders. It comes with $225,000 worth in inventory.

Mentioned in this Episode:

The Deal Board Podcast

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United Franchise Group

Transworld Business Advisors

Transworld on Linkedin

Transworld on Facebook

Call us — (888) 711-9018

Email us [email protected]

AXIAL.com

Call Jessica Starks at (517) 492-0039 or email [email protected]

Call Sam Curcio at (646)470-9433 or email [email protected].

Mentioned in This Episode

• The Deal Board Podcast
• The Deal Board on Facebook
• The Deal Board on LinkedIn
• The Deal Board on YouTube
• Transworld Business Advisors