business broker - how to buy or sell a business

INTRODUCTION TO

Landon and Acosta, LLC

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwiV-vjNz6nJAhUFOz4KHYhmCZIQjRwIBw&url=http://www.snipview.com/q/Globe&psig=AFQjCNFXOSOxD8tjaXSwIlGE7ta5DdQtHQ&ust=1448473723195519

TALKING POINTS

• Can everybody hear me and see my screen?

• Thank you for your time

• This presentation will be – 15 Slides

– Should take about 10 Minutes

• You don’t have to take notes, I will email you a copy

• Please feel free interrupt and ask questions at any time

TOPICS

• Personal and Professional Background

• What We Do

• Types of Clients We Can Help

• Maintaining Confidentiality

• Business Valuations

• Questions

Sal Acosta

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwja1oC74KnJAhWDdj4KHezGDsMQjRwIBw&url=http://www.123rf.com/photo_18766458_hand-writing-se-habla-espanol-with-red-marker-on-transparent-wipe-board.html&psig=AFQjCNHsfza0NtzA4iThDBRbgNiVKn88ag&ust=1448478101109080

TALKING POINTS

• Born in Cuba

• My parents left after Fidel Castro took over

• Grew Up in Puerto Rico

• Spanish is my native language

TALKING POINTS

• Bachelor of Science in Electrical Engineering

• Massachusetts Institute of Technology

• Cambridge, MA, just outside of Boston

• Graduated in 1984

TALKING POINTS

• Master’s in Business Administration

• Tulane University

• New Orleans, LA

• Graduated in 1986

Dual Career Focus

High Level Executive for Multi-National

Corporations

Small Business Entrepreneurship

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwiJjLSVnKrJAhVNhhoKHTqxCDcQjRwIBw&url=http://www.acmp.com/blog/twin-boom-twin-engine-fighter-problems.html&psig=AFQjCNGxvuGwMi3fJTnBARLuTmt6PbpMjw&ust=1448494338389644

TALKING POINTS

• Dual Career Focus

• Small Business Entrepreneurship

• High-Level Executive for Multi-National Corporations

Oil Butler Mobile Oil Change Franchise

Vending Machines

SMALL BUSINESS ENTREPRENEURSHIP

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=96WxVvb9_mVPaM&tbnid=ebb4b8RY6uWuZM:&ved=0CAUQjRw&url=http://www.gumball.com/triple-shot-vending-machine.aspx&ei=vn4zUuHKGtjH4AOZ8IDQBA&psig=AFQjCNEQnoXa08VGXhAxDYW5rSxK8azJZg&ust=1379192773134087

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=Bqa1iUnZmTBixM&tbnid=M1QrnIMK-Z9jXM:&ved=0CAUQjRw&url=http://www.franchisehelp.com/franchises/oil-butler-international&ei=xXwzUtufNLK-4APRgoHIBQ&bvm=bv.52164340,d.dmg&psig=AFQjCNG1CQyDcBTcgKQ7n6_ajVGzTcoitg&ust=1379192367986638

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=hWgaL7quX957NM&tbnid=DLMZczVGtI-VCM:&ved=0CAUQjRw&url=http://www.thefranchisecoach.net/oilbutler.htm&ei=73wzUvTNJ5e14AOqjoHoBw&bvm=bv.52164340,d.dmg&psig=AFQjCNHDMrWaDpi1lV3hbUOalj5HAiABhw&ust=1379192411264376

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=62M0Q6AgMGtOaM&tbnid=JACVX6TeuYGtAM:&ved=0CAUQjRw&url=http://www.franchisegenius.com/Oil-Butler-International-Franchise/&ei=B30zUrbyC6XC4APZ8YDYCQ&bvm=bv.52164340,d.dmg&psig=AFQjCNHDMrWaDpi1lV3hbUOalj5HAiABhw&ust=1379192411264376

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=hnLhxgg-fe4TZM&tbnid=K7exEEwdRbqSAM:&ved=0CAUQjRw&url=http://smilekiddo.wordpress.com/2011/01/27/vending-machine-magic/&ei=434zUoODN_Hd4AON7YDYCg&psig=AFQjCNEQnoXa08VGXhAxDYW5rSxK8azJZg&ust=1379192773134087

TALKING POINTS

• As an entrepreneur

• Started, grew, and sold small businesses

• Oil Butler Franchise

– Mobile oil and filter changes for cars

• Vending Machines

• Successfully sold both small business

Corporate Executive Positions

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwilpOau5KnJAhXLOD4KHQV3B_IQjRwIBw&url=http://www.primelec.com/ge-series-e6000-c32-240v-electronic-components-switches-p8858982&psig=AFQjCNEPDvy-iND-AL3Qb_3PmmmsgIQ3sQ&ust=1448479297431665

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=0DVkzzwYCH-BnM&tbnid=iSUlO3CuR1ya7M:&ved=0CAUQjRw&url=http://www.testohio.com/&ei=q3kzUqOxNK2v4AOr7YCQBQ&bvm=bv.52164340,d.dmg&psig=AFQjCNFNPf4_enufoe9K2cmyKDJgqIZ8BA&ust=1379191576530366

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=H9oG1mDNNUFNgM&tbnid=hs5pg-NxkHedSM:&ved=0CAUQjRw&url=http://runawaylawyer.wordpress.com/2011/04/14/ap-punkd-with-fake-ge-news-release/&ei=bngzUoSHH9Xh4APAp4DYCg&psig=AFQjCNGOBQa4OwdpPJ5fVN4QNu7ZLQHcwg&ust=1379191211637241

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=V6_xRlhsIxrcnM&tbnid=Q7bXyO_CnpjkJM:&ved=0CAUQjRw&url=http://www.taprootfoundation.org/about-probono/blog/eight-models-pro-bono-outsourcing-hp&ei=3XgzUpTpGJGl4AP6sYGwBg&bvm=bv.52164340,d.dmg&psig=AFQjCNFz8IMMdYkj2diXUS-qR0L7nrVeew&ust=1379191340834850

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=h7alt1EZ8VyDRM&tbnid=r-RjL4vbhlDAQM:&ved=0CAUQjRw&url=http://techfuture.co.uk/2013/06/motorola-mobility-unleash-new-logo/&ei=SXkzUsXOMrXB4AOO14H4CQ&bvm=bv.52164340,d.dmg&psig=AFQjCNF4gPvWcHn8XWh0yIH0S7oefzBFhA&ust=1379191484303831

https://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwikr5CN46nJAhWMXD4KHdFnDyQQjRwIBw&url=https://dims.lutron.com/&psig=AFQjCNGbX7bN4Vwrp4pPTLAwGcVuL7Ug1w&ust=1448479015247701

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj04P_d5KnJAhXKOz4KHWoUBVcQjRwIBw&url=http://www.old-computers.com/museum/computer.asp?st=1&c=139&psig=AFQjCNFvKbeTeXK3p6EwspSHfxRmVj8Kjw&ust=1448479445966166

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjbkrCD5anJAhUEyT4KHaX-BlIQjRwIBw&url=http://www.amazon.com/Motorola-Flex-BR850-Numeric-Pager/dp/B0093MHYDM&psig=AFQjCNHt9g-PYZKf8oqAfUgscvGN2w1heQ&ust=1448479549014714

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwihkpqP5qnJAhVCGz4KHXSjDEIQjRwIBw&url=http://www.amazon.com/Lutron-Electronics-D603-PH-WH-Incandescent-Rotary/dp/B00004WGXL&psig=AFQjCNFYdlr6ImeVLzNgfp1ZCS2HnrpJtw&ust=1448479819309962

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj75t2j56nJAhUH8j4KHTbuCr4QjRwIBw&url=http://www.clrwtr.com/SSAC-Relays.htm&psig=AFQjCNF2TbXI1CzwN8JFAGUjUj79HxwX5g&ust=1448480151229786

TALKING POINTS

• High-level corporate and operational roles

– Accounting

– Finance

– Engineering

– Manufacturing

– Quality

– Operations

• Actual companies and products shown

TALKING POINTS

• Started, Bought and Sold

– Product Lines

– Business Units

– Sub-Contractors

– Manufacturing Facilities

• Finance Mgr, General Mgr, Director of Operations

• International Experience

TALKING POINTS Company Role General Electric Manufacturing Engineer Hewlett-Packard Accounting Manager Hewlett-Packard Development Engineer Motorola Manufacturing Manager Smart Modular Tech General Manager Lutron Electronics General Manager Lutron Electronics Corporate Finance Manager ABB Director of Operations


We Help Our Clients

Sell a Business Buy a Business

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjbp9-KiqrJAhWLWT4KHeecAyYQjRwIBw&url=http://www.csoonline.com/article/2458048/security-leadership/insecure-connections-enterprises-hacked-after-neglecting-third-party-risks.html&psig=AFQjCNGmzuXCh2-GVds30c53qsrm-0IZVQ&ust=1448489464192930

Typical Clients

•Business Size

•Geography

• Industry

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwiYqIGWharJAhXH2T4KHWA2D2kQjRwIBw&url=http://articles.economictimes.indiatimes.com/2015-07-29/news/64996964_1_wheat-supply-australian-wheat-milling&psig=AFQjCNFZeztB5RC3ypVTzKYaHA1Y9hUqRg&ust=1448488171587600

Business Size

• Revenues: $1M to $10M

• Employees: 10 to 250

• Cashflow: $250K to $2M

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwijtsiH66nJAhUFWz4KHcpJD8gQjRwIBw&url=http://www.gingerandmay.co.uk/blog/fabulous-ruler-height-charts&psig=AFQjCNEuaU0FRRcH8zuKr6CUc27fadwvSg&ust=1448481136169102

Geography

OHIO Cleveland Columbus

Akron Canton

Youngstown

WEST VIRGINIA Wheeling

Parkersburg Morgantown

Charleston

PENNSYLVANIA Washington Canonsburg Pittsburgh

Industry Agnostic

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwiW7pnN9qnJAhVFbj4KHRn1D-0QjRwIBw&url=http://hopeline.org/Exhorter/May%20Exhorter%202014/4.html&psig=AFQjCNGkEKZn9iOk5XYQhuYX0cfnNfpMhQ&ust=1448484177440485

TALKING POINTS

• We are industry agnostic

• Will help with any type of business

• Prefer manufacturing because of professional background

• Try to avoid bars and restaurants

Confidentiality

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjKjZXb-KnJAhXBcT4KHSWSCB0QjRwIBw&url=http://observer.com/2013/11/former-ashley-madison-copy-writer-sues-website-for-injuries-sustained-from-faking-it/&psig=AFQjCNEXUIfQe3JY_PZTEMRGCVDbqK-qSw&ust=1448484779825000

TALKING POINTS

• Business Broker can keep sales confidential

• Customers – Could seek new service provider

• Employees – Could seek work elsewhere

• Suppliers – Could eliminate credit

• Potential Buyers sign NDA

• Potential Buyers are Pre-Qualified

Business Valuation

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwj24vKY_anJAhUKOD4KHez6AoUQjRwIBw&url=http://smallbusiness.foxbusiness.com/finance-accounting/2013/11/01/5-simple-ways-to-increase-your-small-business-cash-flow/&psig=AFQjCNEj4rn92_mYs44B4KEEJALVT96UDA&ust=1448485973351835

TALKING POINTS

• There are many ways to value a business

• Based on Net Assets

• Based on Cashflow

• Based on Comparables

• What the market will bear

• A formal valuation can be done

– Requires a lot of work, research, and market analysis

– Extra fee required


Sal Acosta Cell Phone: 484-358-9470

Email: [email protected]

Landon and Acosta Website: Businesses for Sale: LinkedIn Profile:

www.LandonAndAcosta.com http://broker.bizbuysell.com/Acosta/

www.linkedin.com/in/SalAcosta

TALKING POINTS

• Questions?

Listing Agreement

• Month-To-Month, No Long-Term Commitment

• Success Fee: 7% of Transaction Value

• Retainer: $1,000 per Month

• Our interests are aligned

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjOq8T6gqrJAhUEcT4KHZsACZEQjRwIBw&url=http://www.telegraph.co.uk/sport/olympics/rowing/9055180/London-Olympics-2012-Great-Britains-men-feel-the-heat-is-in-race-to-cox-eight-boat.html&psig=AFQjCNHMUSmPn14E3gFw3N_7h2e1-JRIHw&ust=1448487549473287

business broker - how to buy or sell a business

Small Business & Entrepreneurship