When acquiring transportation businesses or any business for that matter, sometimes what appears to be a great deal on paper does not materialize on the buyer’s bottom line. In many cases, this occurs because the deal is deficient in fair-mindedness. Fair-mindedness occurs when a deal recognizes both the needs/wants of the buyer and of the […]
Business owners are often reluctant to formulate formal exit strategies. After all, “why spend money and time to plan for something I don’t even know that I want to do…sell my business.” This sentiment underlines a common disconnect between many hard working transportation business owners and the purpose behind an exit strategy. An exit strategy […]
EBITDA is one of many complex valuation formulas commonly used in business sales. It also happens to be one of the most commonly misunderstood. An abbreviation for earnings before interest, taxes, depreciation, and amortization, EBITDA attempts to measure free cash flow based on numbers in a company’s income and cash flow statements. But like most […]
Many transportation businesses attract unsolicited offers from customers, investors, and/or friendly competitors at some point in the company’s life cycle. The vast majority of these offers or exploratory deal discussions rarely go anywhere. Why? Many owners of established, successful transportation businesses are unprepared for something they should expect –unsolicited offers to purchase a good business. […]