Comments for Business Sale Report Blog - News and views on buying and selling businesses http://www.business-sale.com/blog Just another WordPress weblog Mon, 7 Jul 2008 00:26:05 +0000 http://wordpress.org/?v=2.3 Comment on Earnouts - key issues to consider by websiteproperties http://www.business-sale.com/blog/selling-a-business/22/earnouts-key-issues-to-consider#comment-113 websiteproperties Fri, 23 May 2008 03:50:10 +0000 http://www.business-sale.com/blog/selling-a-business/22/earnouts-key-issues-to-consider#comment-113 I have structured several earn-outs for my clients selling internet businesses. Typically these deal structures work well when the buyer is strong - financially and experiencially so the potential for reaping a greater reward on the backside is much greater. Secondly, we base it on 5% of gross revenues not net - This is easy to track and prove and can lead to a nice quarterly or bi annual bonus check over the course of 3-4 years - the usual term and pay schedule. These deals are usually negotiated when a buyer is unable or willing to pay all cash at close or the buyer doesn't want owner financing. I have structured several earn-outs for my clients selling internet businesses. Typically these deal structures work well when the buyer is strong - financially and experiencially so the potential for reaping a greater reward on the backside is much greater. Secondly, we base it on 5% of gross revenues not net - This is easy to track and prove and can lead to a nice quarterly or bi annual bonus check over the course of 3-4 years - the usual term and pay schedule.
These deals are usually negotiated when a buyer is unable or willing to pay all cash at close or the buyer doesn’t want owner financing.

]]> Comment on Caveat Emptor by websiteproperties http://www.business-sale.com/blog/on-the-market/21/caveat-emptor#comment-92 websiteproperties Tue, 13 May 2008 06:52:12 +0000 http://www.business-sale.com/blog/on-the-market/21/caveat-emptor#comment-92 When Buying a business be sure you do a thorough due diligence process. Any sign of serious downturn is typically a red flag. Do a background check on the company and hire a CPA and lawyer to assist in the transaction. Be patient and take your time - when sellers put pressure to close in an unreasonable time frame be wary. David Fairley <a href="http://www.websiteproperties.com" rel="nofollow"> Internet Business Broker</a> When Buying a business be sure you do a thorough due diligence process. Any sign of serious downturn is typically a red flag. Do a background check on the company and hire a CPA and lawyer to assist in the transaction. Be patient and take your time - when sellers put pressure to close in an unreasonable time frame be wary.
David Fairley
Internet Business Broker

]]> Comment on Welcome to the Business Sale Report Blog by John Jackson http://www.business-sale.com/blog/business-news/1/hello-world#comment-1 John Jackson Mon, 23 Apr 2007 09:39:59 +0000 http://www.business-sale.com/blog/business-news/1/hello-world#comment-1 Hi Chris Great idea. I look forward to your informative comments! John J Hi Chris

Great idea. I look forward to your informative comments!

John J

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