Reposted from the Santa Fe New Mexican. Sunday, August 21, 2016 Do you find the food in Santa Fe enjoyable? It’s no wonder. Santa Fe, after all, has just been named to yet another prestigious Top 10 list — the readers of Travel + Leisure named it one of the best cities for food in these United States. The accolade was part of the magazine’s World’s Best Awards for 2016, with votes from sophisticated travelers — folks who...
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,...
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...
Buyers, as part of their due diligence, usually employ accountants to check the numbers and attorneys to both look at legal issues and draft or review documents. Buyers may also bring in other professionals to look at the business’ operations. The prudent buyer is also looking behind the scenes to make sure there are not any “skeletons in the closet.” It makes sense for a seller to be just as prudent. Knowing what the prudent...
Buyers, as part of their due diligence, usually employ accountants to check the numbers and attorneys to both look at legal issues and draft or review documents. Buyers may also bring in other professionals to look at the business’ operations. The prudent buyer is also looking behind the scenes to make sure there are no “skeletons in the closet.”
It makes sense for a seller to be just as prudent. Knowing what the prudent buyer may be checking can be a big help. Sam Goldenberg & Associates can assist a New Mexico business owner with looking at these issues. We are very familiar with what buyers are looking for when considering to purchase a New Mexico business.
