The new year and new decade have gotten off to a rapid start! I've had brisk interest from buyers looking to own their own business, and sellers are looking to retire and enjoy the slower pace of life. It's a great time for business opportunities!
I was reading up trends and statistics for the last year while working on a couple of presentations to banks and business owners. I was surprised to learn that 41% of business owners are age 55-72. Baby Boomers are getting ready to retire and in the next 5-10 years, that means a lot of business owners will be looking for an exit strategy. Do you have one? If not, let's work together to make sure your business has the best value when you are ready to sell. I consult with clients over a 2-3 year period of time to help develop strategies that can improve the value of your business. Don't leave money on the table when you get ready to sell. Put a plan in place today so you have confidence in the strength of your business down the road. Q4 2019 Overview
While 2019 transaction numbers were down in aggregate, Q4 2019 actually outperformed Q4 2018, with 2.3 percent more transactions taking place. Median revenue grew 6.7 percent and median cash flow was up 2.4 percent. The median asking price also increased, up 6.2 percent to $275,000, allowing the median sale price to grow 8.7 percent, to $250,000. This is great news for sellers. It's a perfect time to sell as prices are increasing. Wishing you a fantastic 2020!