East Downtown yoga business looking for a buyer

Albuquerque Business First
Damon Scott
March 27, 2015

About nine years ago, three businesses opened at about the same time in Albuquerque’s East Downtown along Central Avenue, giving the already emerging corridor some additional momentum.

Those businesses were the Grove Cafe & Market, Hot Yoga Downtown Albuquerque and Bhava Yoga Studio. Bhava owner Bea Doyle is looking for a buyer of her business and thinks the desirability of the EDo location will be plus.

She’s enlisted the help of well-known business broker Michael Greene — president of Santa Fe-based Sam Goldenberg & Associates — to market the business. Bhava is located at 520 Central Ave. SE and consists of two studios of 1,034 square feet and 300 square feet, respectively. There is also an 88-square-foot loft in the complex that was previously a grocery store, and later served as the headquarters for the New Mexico Police Athletic League.

Click “East Downtown yoga business looking for a buyer” to read the complete article. To read the details about Bhava Yoga Studio for sale, visit Bhava or to learn more about “your vibrant new life,” click on Bhava Yoga Studio.

 

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Popular Nob Hill café-coffee shop has new owners

Limonata Cafe sold by Sam Goldenberg & Associates

Albuquerque Business First

By Damon Scott
Reporter
A married couple with experience in restaurants and baking has purchased a popular Albuquerque Nob Hill café-coffee shop.

Bill and Brenda Ennis recently acquired Limonata Italian Street Food Caffe — located at 3222 Silver Ave. SW — from Maxime and Daniela Bouneou. The Bouneous are the co-owners of Italian restaurant Torino’s @ Home in the North I-25 submarket.

Well-known Santa Fe-based business broker Michael Greene, president of Sam Goldenberg & Associates, had the business listed for about three months. The Bouneous said that while selling a business can be “tough and stressful,” they were happy with the marketing and the valuation — that the final sale price was for an expected amount. (more…)

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Our Valentine to New Mexico and Our Past Clients

New Mexico’s small business owners bring their talents and creativity to making New Mexico the Land of Enchantment.  And in this season, the Land of Romance.

Over the years, we have sold some of New Mexico’s best-known brands, including those pictured here.  Looking to make a memorable impression this Valentine’s Day? Click below to open an interactive image for some unforgettable and enchanting ideas.

Want to join them? Contact us.

Sam Goldenberg & Associates Valentine to the Small Business Owners who Make New Mexico the Land of Enchantment.

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Things Are Looking Up on Main Street

The New York Deli in Santa Fe, New Mexico. Photo: Sam Goldenberg & Associates

Small business owners are the most optimistic they’ve been in seven years. This according to a Wells/Fargo Gallup Poll released last Thursday, February 5, 2015. Now at an index of +71, optimism among proprietors of Main Street businesses has increased steadily over the last two quarters. Business owners are feeling good about their current situation and are optimistic as they look to the future.

While Gallup reports that the small business index has yet to regain pre-recession levels when it registered at a height of +114, the trend is heading in the right direction. The +71 score is a significant improvement over +49 in July 2014 and +58 in November 2014.

What’s behind this sanguine outlook? According to Gallup, better revenue pictures, an improved hiring environment, and the ease of obtaining credit are the major factors.

Gallup summarizes: “Small-business owners’ more upbeat views of their operating environments come at a time of generally positive economic trends in economic growth and unemployment, as measured by the government, as well as year-over-year upticks in Gallup’s consumer-based reports on employment, company hiring and consumer spending.”

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Who Buys a New Mexico Business?

who-buys-a-nm-businessBuyers buy a small business for many of the same reasons that sellers sell businesses: They want to secure their futures. Our job is to recognize who is serious and who is not to save our sellers effort, time and frustration. We have put safeguards in place to help protect our clients from frivolous tire-kickers. If the buyer is not serious, the sale will never close, and the sellers’ time will have been wasted. As will ours. We don’t let it get to that stage.

Our buyer screening provides us with an overview of a prospect’s capabilities, experience and qualifications. Once we have confirmed their financial ability, secured a Non-Disclosure Agreement, and are reasonably confident about their commitment to buying a business, we invite them in to our office for a meeting or converse with them over the phone. These conversations familiarize us with their talents, strengths and motivations. (more…)

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Santa Fe’s Year in Review

St. Francis Cathedral in downtown Santa FeThe year just passed was a strong year for Sam Goldenberg & Associates. During 2014, we put under contract or sold 13 New Mexico businesses, expanded our staff, and strengthened our presence as the exclusive Sunbelt Business brokerage for the state of New Mexico and southern Colorado. We redesigned this website, as well as launched SunbeltNewMexico.com, and made important strides in improving our marketing platforms for our clients.

While some back-patting may be permissible, credit is also due the Land of Enchantment. Once again, Santa Fe came out on or near the top of several respected magazines’ “best of lists” and readers’ polls. How, over the past few years, Santa Fe can be rated as one of AARP’s best retirement destinations, one of  Kiplinger’s favorite cities for career and lifestyle, and Travel+Leisure’s places for hipsters  just goes to show that the City Different really is different.

For a complete look at the awards and accolades Santa Fe has recently accrued, go to our latest web series.

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The New York Time’s 36 Hours in Santa Fe

The New York Times’ November 26, 2014 “36 Hours in Santa Fe” is a multi-media exploration of the City Different during the off-season.

Image courtesy of The New York Times
Image courtesy of The New York Times

36 Hours in Santa Fe

November 26 2014
by Zora O’Neill

In summer, Santa Fe bursts at the seams with arts fairs, opera and other flashy events. In winter, though, the schedule is less hectic, and the few tourists spend their days skiing outside town. This is when residents effectively reclaim the center, the walkable area from the old plaza to the newer Railyard district. The only glitz and glitter is the snow sparkling under a sunny blue sky and paper-bag lanterns glowing in the black night. In recent years, many of the city’s most loved institutions have expanded, been renovated or have even returned from the dead — and there’s no better time to enjoy them than the colder months, alongside Santa Feans who have been appreciating them for decades. Read full article.

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GREENBERG FINE ART HAS NEW OWNERS

Canyon Road’s Newest Neighbors Contribute to Its Entrepreneurial Spirit

Santa Fe, NM, October 13, 2014–Paul and Carol Hartsock recently took the helm of Greenberg Fine Art on Canyon Road. The couple looks forward to bringing their special mix of entrepreneurship and culture to the community.

Michael Greene, president of Sam Goldenberg & Associates, a Santa Fe business brokerage, facilitated the gallery’s transfer of ownership from Mark Greenberg to the Hartsocks. The paperwork was signed at the Sam Goldenberg & Associates’ office 17 weeks after the gallery went on the market.

“This is the second art gallery we’ve sold in 12 months,” says Greene. “Both generated a lot of interest and sold quickly. The interest in acquiring or investing in a well-run art gallery in Santa Fe is a trend that doesn’t show any signs of slowing down. It’s a smart investment.”  (more…)

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The Deal Is Almost Done — Or Is It?

The Letter of Intent has been signed by both buyer and seller and everything seems to be moving along just fine. It would seem that the deal is almost done. However, the due diligence process must now be completed. Due diligence is the process in which the buyer really decides to go forward with the deal, or, depending on what is discovered, to renegotiate the price – or even to withdraw from the deal. So, the deal may seem to be almost done, but it really isn’t – yet!

It is important that both sides to the transaction understand just what is going to take place in the due diligence process. The importance of the due diligence process cannot be underestimated. Stanley Foster Reed in his book, The Art of M&A, wrote, “The basic function of due diligence is to assess the benefits and liabilities of a proposed acquisition by inquiring into all relevant aspects of the past, present, and predictable future of the business to be purchased.”

Prior to the due diligence process, buyers should assemble their experts to assist in this phase. These might include appraisers, accountants, lawyers, environmental experts, marketing personnel, etc. Many buyers fail to add an operational person familiar with the type of business under consideration. The legal and accounting side may be fine, but a good fix on the operations themselves is very important as a part of the due diligence process. After all, this is what the buyer is really buying.

Since the due diligence phase does involve both buyer and seller, here is a brief checklist of some of the main items for both parties to consider.

Industry Structure

Figure the percentage of sales by product line, review pricing policies, consider discount structure and product warranties; and if possible check against industry guidelines.

Human Resources

Review names, positions and responsibilities of the key management staff. Also, check the relationships, if appropriate, with labor, employee turnover, and incentive and bonus arrangements.

Marketing

Get a list of the major customers and arrive at a sales breakdown by region, and country, if exporting. Compare the company’s market share to the competition, if possible.

Operations

Review the current financial statements and compare to the budget. Check the incoming sales, analyze the backlog and the prospects for future sales.

Balance Sheet

Accounts receivables should be checked for aging, who’s paying and who isn’t, bad debt and the reserves. Inventory should be checked for work-in-process, finished goods along with turnover, non-usable inventory and the policy for returns and/or write-offs.

Environmental Issues

This is a new but quite complicated process. Ground contamination, ground water, lead paint and asbestos issues are all reasons for deals not closing, or at best not closing in a timely manner.

Manufacturing

This is where an operational expert can be invaluable. Does the facility work efficiently? How old and serviceable is the machinery and equipment? Is the technology still current? What is it really worth? Other areas, such as the manufacturing time by product, outsourcing in place, key suppliers – all of these should be checked.

Trademarks, Patents & Copyrights

Are these intangible assets transferable, and whose name are they in. If they are in an individual name – can they be transferred to the buyer? In today’s business world where intangible assets may be the backbone of the company, the deal is generally based on the satisfactory transfer of these assets.

Due diligence can determine whether the buyer goes through with the deal or begins a new round of negotiations. By completing the due diligence process, the buyer process insures, as far as possible, that the buyer is getting what he or she bargained for. The executed Letter of Intent is, in many ways, just the beginning.

Buying a Business – Some Key Consideration

  • What’s for sale? What’s not for sale? Is real estate included? Is some of the machinery and/or equipment leased?
  • Is there anything proprietary such as patents, copyrights or trademarks?
  • Are there any barriers of entry? Is it capital, labor, intellectual property, personal relationships, location – or what?
  • What is the company’s competitive advantage – special niche, great marketing, state-of-the-art manufacturing capability, well-known brands, etc.?
  • Are there any assets not generating income and can they be sold?
  • Are agreements in place with key employees and if not – why not?
  • How can the business grow? Or, can it grow?
  • Is the business dependent on the owner? Is there any depth to the management team?
  • How is the financial reporting handled? Is it sufficient for the business? How does management utilize it?
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Three Basic Factors of Earnings

Two businesses for sale could report the same numeric value for “earnings” and yet be far from equal. Three factors of earnings are listed below that tell more about the earnings than just the number.

1. Quality of earnings
Quality of earnings measures whether the earnings are padded with a lot of “add backs” or one-time events, such as a sale of real estate, resulting in an earnings figure which does not accurately reflect the true earning power of the company’s operations. It is not unusual for companies to have “some” non-recurring expenses every year, whether for a new roof on the plant, a hefty lawsuit, a write-down of inventory, etc. Beware of the business appraiser that restructures the earnings without “any” allowances for extraordinary items.

2. Sustainability of earnings after the acquisition
The key question a buyer often considers is whether he or she is acquiring a company at the apex of its business cycle or if the earnings will continue to grow at the previous rate.

3. Verification of information
The concern for the buyer is whether the information is accurate, timely, and relatively unbiased. Has the company allowed for possible product returns or allowed for uncollectable receivables? Is the seller above-board, or are there skeletons in the closet?

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