IBA Blog

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IBA (International Business Associates) maintains a blog on its website on a regular basis as a regional resource for information about selling or buying a privately held company or family owned business and entrepreneurship in the Pacific Northwest. The president of IBA, Gregory Kovsky, frequently posts information on the blog. Mr. Kovsky has over 20 years of experience in mergers & acquisitions, business brokerage, and commercial real estate. He has personally completed over 250 transactions involving manufacturing, distribution, retail, service, and technology companies. Blog articles will also be posted on the www.ibainc.com by professionals serving the mergers & acquisitions and business brokerage industries. Blog article submissions are welcome from the accounting, legal, banking, financial planning, and other industries affiliated with the sale or purchase of businesses and real estate. Blog articles submissions should be submitted to info@ibainc.com with the subject line indicated BLOG ARTICLE.

IBA, the Pacific Northwest’s premier business brokerage firm since 1975, is available as an information resource to the media, business brokerage, and mergers & acquisitions community on subjects relevant to the purchase & sale of privately held companies and family owned businesses. IBA is recognized as one of the best business brokerage firms in the nation in terms of successfully negotiating transactions that are “win-win” in an environment of full disclosure between the parties.

Due Diligence – Private Investigation of a M&A Deal

I recently watch “Soaked in Bleach”, the story of private investigator Tom Grant’s efforts and analysis associated with the facts surrounding the death of Kurt Cobain.  Interesting movie that identifies some noncongruent elements between the “official” narrative regarding the death and information that would appear to be relevant to the situation.   In a transaction involving the sale of a privately held company, an investigation of the business commonly occurs by the buyer and their professional advisors prior to the acquisition being completed through a process called due diligence.  The most common professional advisers employed to assist with due diligence are CPA’s, CFO’s, and attorneys.  The due diligence process has many similarities to investigation of a crime scene in that it requires the investigating party to collect documentation, information, and knowledge to properly assess the situation and make a decision.  In a potential business acquisition, the decision being made is whether to complete the transaction and purchase the company. Continue reading

Verification of Achievement & Best Practices in the Sale of a Business

 The best verification a business broker can receive that they did a quality job representing a client in the sale of their business occurs when that party refers a family member, friend, or colleague to the business broker for representation in the sale of a business in the future.  This endorsement of the experience, knowledge, and skill employed by our mergers & acquisitions professionals in the representation of our clients occurs commonly at IBA.  The most recent example of a business sale process being initiated with this type of referral occurred at the end of June 2017, when IBA successfully facilitated the sale of Ventmasters.  This representation project started with a referral from a past client, Brad Vogel.  Mr. Vogel sold his company, Vogel’s Carpets, in January of 2016.  Continue reading

Business Continuity Planning for Co-Owners

IBA, as the premier business brokerage firm in the Pacific Northwest, is firmly established as a respected professional service firm in the legal, accounting, banking, mergers & acquisitions, real estate, and financial planning communities.  Periodically, we will post guest blogs from professionals with knowledge to share for the good of owners of privately held companies & family owned businesses.  The following blog has been provided by Allan VanderHamm of Berntson Porter & Company, PLLC.

Business Continuity Planning for Co-Owners

Imagine that on the eve of your wedding, you make a plan to divorce your spouse, on friendly terms, in about 15 years. During those 15 years, you agree to work diligently and successfully to build a business. Continue reading

The Amazon Whole Foods Merger – A Personal Perspective

It is rare when a merger of iconic Fortune 200 companies on Wall Street is personally & professionally relevant, but that was the case for me when Amazon’s $13.7 billion acquisition of Whole Foods was announced last week (https://www.bloomberg.com/news/articles/2017-06-16/amazon-to-acquire-whole-foods-in-13-7-billion-bet-on-groceries).

My first exposure to Whole Foods occurred in the late 1980’s when as a college student at the University of Texas in Austin, I would semi-frequently visit the company’s flagship store at the corner of 6th Street & North Lamar Boulevard in search of unique foreign beers to sample with friends. Continue reading

Selling an Education Niche Business

Most people are familiar with the phrase “Knowledge is Power”.   This phrase conveys the time-tested fact that people who are educated traditionally perform at a higher level than those that have less relevant knowledge.   This fact also creates market demand that has long been satisfied by entrepreneurs as the providers of knowledge in exchange for payment.   IBA has a long history of successfully representing business owners in the sale of their education niche businesses with the unique knowledge & experience necessary to facilitate the transactions smoothly for the best possible market value.   In addition to the traditional transactional elements found in all business sales, education niche transactions often require business broker knowledge of accreditation, licensing, classroom capacities, curriculum usage & licensing, and/or tuition and deposit proration methodologies.

The types of education businesses run successfully for profit by entrepreneurs are almost as numerous as the stars in the sky.  The following are some examples of education businesses that have been successfully sold by the business brokers of IBA: Continue reading

Merging a Privately Held Company into a Publicly Traded Company

A mergers & acquisitions firm serving the middle market has five potential groups to target for buyers for the companies it represents for sale.  The buyer groups are individual entrepreneurs, private equity firms, privately held companies, publicly traded companies, and nonprofit corporations.  A majority of transactions in the middle market involve the sale of a company to a party that plans to continue operations substantially similar to historical practices.  Profit & return on investment traditionally motivate this type of acquisition.  The same motivations apply to a buyer interested in merging another company into their business operations.   The merger can either be a horizontal merger, an acquisition intended to increase market share, or a vertical merger, an acquisition designed to either acquire a supplier or vender for the company’s products.   A larger number of transactions resulting in horizontal integration than vertical integration occur annually in the middle market.

The following are historical examples of industries where IBA successfully facilitated mergers of its clients into publicly traded companies: Continue reading

The Value of Knowledge & Experience in the Sale of a Business

Richard Branson famously said, “The art of delegation is one of the key skills any entrepreneur must master”. One activity that an entrepreneur should seriously consider delegating to a professional is the sale of a privately held company. The sale of a business is a sophisticated process requiring knowledge of accounting, law, banking, investment, business, real estate, marketing, human nature, and market conditions. Components of this knowledge can likely be obtained through reading & research by an entrepreneur, however a much more efficient process to gaining the knowledge necessary to sell a business at the best possible market value while minimizing post transaction liability & tax implications is to engage an established business sale intermediary to negotiate & facilitate the transaction. Continue reading

Outsource Human Resources, an Emerging Trend for Privately Held Companies

IBA, as the premier business brokerage firm in the Pacific Northwest, is firmly established as a respected professional service firm in the legal, accounting, banking, mergers & acquisitions, real estate, and financial planning communities.  Periodically, we will post guest blogs from professionals with knowledge to share for the good of owners of privately held companies & family owned businesses.  The following blog article has been provided by Lisa Bauer, an Employment & HR Compliance Expert with Insperity (www.insperity.com).

Outsource Human Resources, an Emerging Trend for Privately Held Companies

Continue reading

How to Sell Your Ecommerce Company for the Maximum Market Value

IBA, as the premier business brokerage firm in the Pacific Northwest, is firmly established as a respected professional service firm in the legal, accounting, banking, mergers & acquisitions, real estate, and financial planning communities.  Periodically, we will post guest blogs from professionals with knowledge to share for the good of owners of privately held companies & family owned businesses.  The following blog article has been provided by Patrick Foster, an Ecommerce Consultant with www.ecommercetips.org:

How to Sell Your Ecommerce Company for the Maximum Market Value

Continue reading

The Advantages of Operating as a C Corporation as an Entrepreneur

IBA, as the premier business brokerage firm in the Pacific Northwest, is firmly established as a respected professional service firm in the legal, accounting, banking, mergers & acquisitions, real estate, and financial planning communities.  Periodically, we will post guest blogs from professionals with knowledge to share for the good of owners of privately held companies & family owned businesses.  The following blog article has been provided by David Nilssen, CEO and Co-founder of Guidant Financial (www.guidantfinancial.com).

The Advantages of Operating as a C Corporation as an Entrepreneur

Picking the right business structure is one of the biggest decisions that entrepreneurs make when starting a new small business. To protect personal assets from company liabilities such as lawsuits and debts, business owners usually choose to incorporate. That’s when they encounter a real alphabet soup of options: LLCs, S corporations and C corporations. How do you pick which option fits your company best? Continue reading

The secret of business is to know something that nobody else knows.

Aristotle Onassis