We Understand Micro Market Business Transfer!
It's all we do. We concentrate our efforts in the Micro Market where businesses are often overlooked by strategic and financial acquirers and underserved by professionals. We are devoted to and immersed in Micro Market business transfer.
There are several differences between Micro Market business transfers and larger business transfers.
- Most Micro Market businesses include a small number of shareholders (often only one) where most of their personal net worth is invested in their business.
- Bankers and investors evaluate the Micro Market differently than they evaluate large market businesses. Financing is more difficult to obtain. YVG knows which institutions PREFER to do business with Micro Market business owners and buyers.
- EBITDA often needs to be "adjusted" for businesses in the Micro Market.
- Capital Expense projections tend to be more important to business valuations made by financiers and business buyers in the Micro Market.
- There are fewer qualified (both financially and managerially) business buyers who are interested in the Micro Market.
- Many Micro Market businesses are in the service sector and consequently list minimal hard assets on their balance sheets which causes financing concerns. YVG knows how to get "airball" deals completed.
- The US government's SBA financing program is more often used with Micro Market business transfers. YVG has relationships with many SBA preferred lenders.
- Seller financing is more prevalent with Micro Market business transfers. Because YVG has credibility in the Micro Market sector, often we can convince a financier to require less seller financing.
- Professional fees paid to support the selling shareholders can be high relative to the purchase price. Because YVG knows Micro Market business transfers so well, we can control professional fees for both our Client and the selling shareholders. Too often we speak to selling shareholders who have spent four to six months and thousands of dollars in attorney and accountant fees to learn the prospective buyer was not financially qualified!