|From the Editor|
We put a great deal of emphasis on exit planning. The simple reason is that we know that green industry business owners who have a plan in place are far more likely to be able to exit their business successfully when the time comes. We know, however, that very few business owners have devoted much attention to exit planning. The impact of that lack of attention can be significant. Many business owners have the idea that their business interests can fund their future activities, without any real idea of the either the value of their business or what it will take to successfully sell their business when the time comes.
There are many reasons business owners fail to seriously consider their exit plans. Probably the most common reason is that they are just busy with the every day tasks of running a business. For some business owners, the exit planning process is confusing and foreign to them and, as a result, easy to put off. Trying to address that phenomenon was the genesis of our lead article this month, “Exit Planning-Simplified.” While exit planning can be complex, the basic concepts are really not.
We are continuing to see significant interest in merger & acquisition transactions at all levels of the lawn and landscape industry, from the largest companies, private equity, and regional and local players. M&A opportunities in the industry are continuing to receive a great deal of focus. This year’s mega-merger between Brickman & ValleyCrest is fueling some of the interest.
As always, if you are considering buying or selling a lawn or landscape business or are ready to get serious about exit planning, we would welcome the opportunity to discuss your particular business and situation, please give us a call at 901-351-1510 or an email at [email protected]
One of the most challenging steps in exit planning is often understanding the value of your business. There is a great deal of misinformation in the market based on rumors of what other companies may have sold for and an assumption that another business would likely sell for a similar price. Often those assumptions are false (and the rumored price at whch another business may have sold may be false as well).
The Principium Group offers a cost-effective service to help green industry business owners understand the value of their businesses and the facvtors that most affect that value and what they may be able to improve that value over time. It is called a market value assessment.
Registration is open for Planet’s Green Industry Conference, October 22-24, 2014 in Louisville, Kentucky. This year is the 25th anniversary for the Green Industry Conference.
The educational offerings and networking events look great. There are several new educational offerings.
Ron Edmonds of The Principium Group will be speaking at the Green Industry Conference on Thursday afternoon from 3:00 to 4:15 pm on the following topic:
Growing Your Green Industry Business with Acquisitions: How to Succeed in Negotiating Acquisitions that Grow and Strengthen Your Business
We hope to see you in Louisville. Contact us to schedule a meeting there.
Book Ron Edmonds for Your Meeting
Contact us for information about booking Ron Edmonds to speak to your industry group or company meeting on green industry acquisition strategies, exit planning and similar topics.
The Sellability Score is a quantitative tool designed to analyze how sellable your business is.
After completing an online questionnaire, you will immediately receive a Sellability Score based on a 100 point scale along with instructions for interpreting your results. We will send you the full report along with a guide for interpreting the Sellability Score in the Green Industry.