The graph shows that mortgage rates for fixed-rate mortgages: the 15-year and 30-year. Every data point is the average rate offered at that point in time for new mortgages. It should be noted that the graph shows the most current rates, which few people with existing mortgages are actually paying. Homeowners that have existing mortgages…
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Time, Pressure and Money is a theory that is key to understanding three key factors that affect the process of selling a business and the sales price. The chart below shows the best postion for a business considering selling and the worst position for a business needing to sell. As the chart shows, selling…
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Fear Of Missing Out (FOMO) is a bad business strategy for any business no matter their size. Businesses went on hiring sprees in late 2021 and in early 2022 fearing that the business was going to miss out on the talent that was changing jobs. Now as the economy starts to drift lower and…
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There is no universal (one size fits all) method for determining the value of a business, as the Step Chart of Business Values demonstrates below. Most businesses fall with in the continuum of Fair Market Value, where a buyer is willing to make an offer and a seller is willing to accept an agreed upon…
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Business owners need to accept that: It might be better to liquidate the business than to try to sell it The revenue size of the business impacts the value of the business There will most likely be one buyer for a business rather than multiple bidders The offer is most often…
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An economic downturn appears to be about to take place. Business owners nearing retirement need to gauge whether they want to continue to run their business through the next economic downturn and economy recovery or sell their business now The key issue for business owners nearing retirement is whether they have the time and desire…
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The Zillow Home Value Index is a smoothed, seasonally adjusted measure of the typical home value and market changes across a given region and housing type. It reflects the typical value for homes in the 35th to 65th percentile range. Home types captured in Zillow Home Value Index include single-family residences, condos, and co-ops. …
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Years ago, the data room for a M&A transaction was an actual secure room in the building filled with banker boxes stuffed with due diligence information and only one interested party at a time could gain access to the data room. If an interested party wanted to take information back to their office for additional…
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The Siburg Company is proud to announce! The Siburg Company is here to help with your exit strategy! The Siburg Company specializes in sell-side and buy-side mergers and acquisitions advisory services. Contact us at (480) 502-2800
When it comes to either buying or selling a business, interest rates can affect a business’s valuation. Transactions, big or small, generally have some portion of the purchase price financed with debt. As the cost of financing the debt portion of a purchase transaction increases, the value placed on a business can go down to…
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