WELCOME

Hi,

 

 

We Can Sell Your Business before Christmas

 

Imagine going into the Christmas holidays knowing that you have sold your business. You will be able to dangle your line in the water without thinking about staff problems, creditors, new marketing concepts, etc etc. What a thought!! This could be a reality. If your business is profitable, well documented and marketed correctly, there are buyers prepared to make a commitment now!

 

To find out more call either Steve Smith or Richie Lowe on 09 630 1600.

 

 

Regards,

Steve Smith AREINZ
MANAGING DIRECTOR

AWESOME COUNTRY TAVERN / HOTEL

Ultimate Lifestyle Business

 

The Maungaturoto Hotel is the ultimate kiwi country pub. A 1907 kauri landmark, sympathetically refurbished to combine the best of olde worlde charm with the convenience of modern hospitality requirements, it offers a classic rural lifestyle: friendly locals; a great community spirit; fishing, boating, hunting all close at hand and yet it is only 90 minutes comfortable drive from Auckland’s CBD - truly the best of both worlds. Ref 20365.

Asking $325,000

 

To find out more, please  contact Bowen Harris 09 630 1600, 021 501 063

                                                                        

Click here to learn more.


BUSINESS SELLING TIPS

Maximise The Sale Of Your Business

 

Before a business is placed on the market, it is important to make sure that the financial situation is properly represented. It is quite normal for the seller of a business to adjust the Profit & Loss Statement, as long as the buyer is made aware of the adjustment. Accountants and brokers call this financial adjustment “recasting” or doing the “add backs" and is done because you are looking to arrive at an agreed profit figure, which in turn will be used to help to determine a fair selling price.

 

This process presents the figures in a way that is most relevant to both the buyer and the seller. It is typically used by most accountants when advising their clients and is also useful for funding purposes.

 

Some examples of the expenses which would be added back are:  

  • Interest payments

  • Excessive wages paid to owners or associated parties

  • Expenses on a private car

  • Other personal expenses e.g. mobile phones, entertainment etc

  • One-off abnormal costs

  • In some instances, a portion of the depreciation

 

The net profit figure that appears in the financial statements is the normal or unadjusted net profit. Once the add backs are made the new figure is called the “adjusted net profit.” This should give an intending purchaser a clearer indication of the  actual trading profit of the business and in small business sales this is usually the profit figure before tax, as every person’s tax situation is different. This is  a reliable method of presenting information in a way that is easily understood by all parties.

 

 

Call us at 09 630 1600, toll free on 0800 180 222, visit our website www.abcbusiness.co.nz or email Managing Director Steve Smith (AREINZ) on steves@abcbusiness.co.nz