Relocating Your Business and Your Life for Business Owners

Small business Owners may face the prospects of relocating their business.  Sometimes moving a business may be a matter of moving your 1 person internet business, or may involve moving your brick and mortar, 25 employee business.  But usually when you are relocating your business you are also  relocating your life.    Ten years ago my family and I moved 1500 miles away from my business.  Subsequently I ran that business for 7 years remotely with the significant help of a qualified management staff and eventually sold that business.  My current status as a Dad and as a business broker in Florida has me and my family involved with another relocation.

Reasons For Relocating Your Business

People move for various reasons, and many aspects surrounding the decision and process relocating your business are surprisingly shared with share the decision process of buying or selling a business.  I have said in the past that there are many reasons one may want to sell their business or exit their business, but all those reasons can get reduce to 2 overall reasons. (reasons that your chose, or reasons that “choose you”)  You may choose to sell your business or circumstances make that choice for you (health, death, divorce, bankruptcy etc).  When you look to relocate yourself or your business, it may be a personal choice or situations around you may force/require such a move.

And like buying or selling a business you have a significant effect on your personal life, when you are relocating your business, your business activities, or your job, you are also relocating your life. A decision to move or relocate usually involves family, friends, significant others involvement. A decision to buy a business, sell a business, start a business directly affect your significant others.  You are not just relocating your business activities you are relocating the life that you are experiencing and significantly affecting the lives of those closest to you.

Relocating Your Business

Photo (c) multicube.com

I have always felt the decision to buy or sell a business can be a harder part than the actual implementation.  “Measure twice, cut once”.    In my previous business that I had owned we made several acquisitions.  I had spent many hours evaluating the accreted cash flow of an acquisition, how to afford the capital outlay, what assets we would keep or dispose of, what involvement if any we would have with the seller of the business after the sale, how we would integrate our billing, servicing, and support of the additional customer base that would come along with the acquisition.  

At some point the decision is made and now it becomes a matter of implementing the mechanics of integrating the acquisition. I believe the implementation was the easier part of the process.    If the decision to acquire was thought out the integration should be a fairly known process. Ten years ago when we made a decision to move our family 1500 away from our business and running it remotely, a tremendous amount of  thought and time  went into the decision, and the move worked out well for the business and my family.

About 2 years ago we contemplated moving due to a combination of personal reasons, and my business activities also entered into the decision.  The decision was more based on personal preference and family goals (my daughters education and school)  than business.   Approximately 1 1/2 year ago we made the decision to move 300 miles away to Northern Florida, from the Southwest barrier island we currently live on.  Subsequently, we have sold our home, found a new home, and the movers are loading up our life belongings in 3 weeks. 1 1/2 years ago I started preparing for the move as it relates to my  business activities.  Here  are some of the highlights and:

6 Measures to Take When Relocating Your Business

1. Plannin– yes the process of an effective move or relocation does share similarities with the process of effectively buying or selling a business.  Planning is so important in both matters.  When buying or selling a business I have always felt that if you are looking to buy a business or sell  a business or start a business in a year you should start planning yesterday.  Like Selling or buying a business, moving or relocating has so many moving parts and is a very involved process.  Dont really know how you can do too much planning for either.

2. Have that very important discussion and or  discussion regarding the pending move with your significant other early on.  Sort thru the personal, emotional, and logistics up front.  If it is a “voluntary” move make sure you both are on the same page.  If it is a move that is being brought upon you, make sure that is known to your significant other, as you should share a common goal to make the best of it.

3. Try to pre-emptively build develop or expand a client base prior to your move.  To me this was one of the more important steps I made in preparing.   Over a year ago I would travel about every other month to prospect, network and begin developing a presence in the new area.  As I developed clients I started travelling to the new area monthly and currently I go there every 2-3 weeks. I chose this route over moving to a new area and starting at square one to build a client base.  I now am moving into a new area  working with business owners looking to sell their Florida  businesses in this new location.  It is a smaller but developing existing client base.

4.  Make sure your email can follow you–  Back in the old day (and yeah my teenage kids eyes gloss over when I begin a statement in this way), but back in the old day, when you move you go to the Post office to have your mail forwarded or notify them of a change of address.  While that is still one of the items on the moving to do list, moving your digital address for your business can be  so much more important.  I have several emails, and one of my main emails is tied to the local cable provider in the area.  Make sure your email is portable, if not get a portable email address and start using it prior to the move.

5. Update Modify your website.  Does your website reflect your new contact information, your new business locations, your new geographic area of focus, if that has changed.

6. Out with the old and in with the new.  When relocating this is a good time to review old records to see what can be securely disposed of.  Why move all these records only to throw them out at the new location.  Storage and space is a valuable commodity no  matter where one is located.  Using the space around your efficiently is enhanced when unnded paperwork files are gotten rid of.  And it makes organizing at the new location that much easier.

Along with all the above business matters, we had to sell a house (in Florida, not so easy now adays), find a new house, find new location to operate business from, register for school for daughter, hire professional movers, help pack, etc. When you are relocating your business or your business profession you are also relocating your life. When buying or selling a business so many people think about the finanical and business side of the process.  But Buying or selling a business, like moving, has as much to do about the personal, family matters and lifestyle as it has to do about the business itself. Again, if you are thinking about buying or selling a business, or relocating your business next year, start planning yesterday.

Buying Selling a Business- Businesses For Sale Florida

Florida Business For Sale Activity (May 18,2011)

I am a Florida Business broker working with business owners selling their Florida  business, and business owners looking for acquisitions.  Prospective business buyers I work with are located in Florida, US., and Business buyers in Europe and throughout the world.

As a  member of Business Brokers of Florida, which is the largest state Association of Business Brokers in the United States we have access to significant data regarding businesses being bought and sold .   Thousands of businesses for sale are represented by over 1000 business brokers that are members of this Association.  These business brokers list their respective businesses for sale and prospective business buyers on a centralized listing site and buyers and sellers of businesses are brought together. Several thousand businesses for sale are listed, modified, and advertised thru this website.

Valuable information regarding Florida business for Sales and Florida Businesses Sold help me as a Business Broker Professional keep track of the ebb and flow of the Florida Business Acquisition Market.  Understanding a business to assist in selling that business requires an understanding of the numbers behind  that business.  An understanding the marketplace in which this business may be sold is furthered by a review of the data surrounding businesses being bought and sold in Florida. The below are a few statistics, totals, and items of note surrounding the business acquisition and sales market in the State of Florida.

  1. Florida Business for sale Priced over $1,000,000- 298
  2. Florida Business Sold for over $1,000,000 in last year= 37
  3. Businesses Currently  For Sale in Florida through Business brokers of Florida –  3253
  4. Restaurants For Sale through Business Brokers of Florida – 663
  5. Businesses For Sale in Florida with Revenue of less than $500,000- 2315
  6. Businesses Sold in Florida through Business Brokers of Florida over last year (365) Days – 878
  7. Businesses Sold in Florida through Business Brokers of Florida over last month –  59
  8. Businesses For Sale in Florida requiring a Down payment of less than $50,000 -536

 

Along with the above statistical information a few  I include specifics of note

Highlighted Industry:     Lawn Landscape Business For Sale in Florida

  • Number of Lawn Services Sold in Florida in last 2 years -100
  • Number of Lawn Services Currently For Sale in Florida- 81

Currently I represent a Lawn Service business that we have an accepted contract on and are going thru the due diligence process. A Lawn service business can provide a very reasonable Owner benefit, and  entry  into the field can be made with a fairly minimal investment.  Looking to Buy a business in Florida?

For more info or questions regarding the Florida Business Acquisition Market or Florida Businesses for sale please contact

Scott M Messinger

Scott@Sellabusinessflorida.com

239.770.2421

Why Buy A Towing Company

When Buying a business –  It has been said by others Pay for the Past, Consider the Present, Buy for the future.  So what is most important when looking to buy an existing business.  How much weight do you put on last years numbers?   How important are the current numbers?  How much are you buying the business for the future numbers?  Past, present,  and future all matter.

But buying a business is buying the future. I am currently working with a Florida based Towing company that is interested in selling his business.  We are selling his Towing company for $1,400,000.              Towing Business For Sale It is easy to imagine a towing company to be no more than the guy that hooks up your car at the side of the road and tows it in for repairs and that is the extent of the business.  This Towing business for sale is much more  that.  I attempt to view businesses for sale from the perspective- “would I buy this business, and why or why not?”.

Why Should Your Buy Towing Company Business:

This Towing business for sale will be a solid business investment for someone and I’d like to highlight reasons why someone will buy this business:

1.   Multiple Income Streams- Yes they do tow cars, but the business model is so much more than that.  They derive revenue from towing, also, vehicles towed in very often pay a daily storage fee, sometimes for vehicles in accidents vehicle require “sealing the car with stretch wrap” to eliminate additional damage from weather, some vehicle owners elect to get vehicle serviced at the towing companies service shop, so there are service fees, some vehicles get towed in and never get claimed.(more than you would think).  These vehicles get fixed and resold, sold for parts, or sold for scrap.   So Income comes from:  a.  Towing,  b. Storage,  c. Securing  d. Storage              e. Service work  f.resale  g. Disposal

2.   Significant Assets are included in purchase Price- Land, multiple buildings, multiple trucks, equipment collectively total over $1,000,000.   I have never been a fan of buying a business because of the assets- Usually cash flow is main area of interest.  But owning the property that your business operates on and paying “yourself the rent”, allows you both control and the ability to enjoy appreciation of this asset as you grow your business.  Also, securing money for your business is easier with assets on your balance sheet.

3.   Good Cash Flow–  This Towing  business generate about $160,000 a year in cash flow.  With Revenues of about $600,000 this is a respectable cash flow. Cash flow has been fairly steady and consistent over a several year period.

4.   A Towing Business is a Recession Resistant Business- There may be a business that is “Recession Proof”, but I am not so sure what that business may be. The economic downturn that began in 2008 has been both extended and far reaching.  Outside of insurance companies, most businessesIi know of have felt the effects of this downturn by significant reduction in revenues.  The towing business is a service that is neither a “luxury item” nor discretionary expense.   A towing company provides a service that is needed regardless of the economy.  This business did realize a 12% reduction in revenues, but compared to the 20%, 30%, and 40%+ reductions in revenues by many of the businesses that i have been working with, this dip in revenue is minimal.

5.   Future Prospects– Business has opportunity to add an onsite used car auto division.(both the land and building exist and the towing nature of the business results in vehicles potential for resale).  Service department has considerable room for growth, and unlike many auto service companies that may wonder where their next customer may come from, the towing operations bring customers in!  As with the auto resale operation, most of the infra structure is in place,  incremental revenue  could result in substantial incremental cash flow.

Towing Company

Photo (c) grandrapidsmilocksmith.com

Yes , I have a vested interest in the sale of this towing company.  I stand to gain financially as this business sells.  I also  attain personal satisfaction helping a long term business owner work thru this process of transition.  Finding the right buyer and getting the right price and terms for this business are the goals we set.

I believe this Towing business for sale will be of benefit to the right buyer.