•  

rss
Feel free to peruse our blog or search for posts based on a specific term.





March 2, 2016

Five Steps to Selling Your Business: Step 2 – Organize Your Financials

One of the first items a potential buyer for a business will want to talk about is the organization’s financial performance. Dave Enick, Tampa Bay Managing Director, co-authored an article discussing step two of a five step process to selling your business. This step covers collecting, organizing and examining a company’s financial indicators in preparation for the due diligence phase of the sale process.

A professional financial picture makes your business much more attractive to buyers. A special focus should be on documented, clearly understood, and applied historical accounting reporting policies and procedures in the business. Sellers should be prepared to present monthly trial balance or similar financial information prepared in accordance with GAAP. A key area of focus will be a reconciliation of revenue and sales reports to the financial statements.

It is important to analyze this data over at least a few years to pinpoint patterns in spending or expenses.  The historical cash flow projections will help with present and future cash flow projections.

Additionally, it is important to consider add-backs, marketplace considerations, and the way your organization is structured.

For more information about the five step process and organizing your financials, contact Dave Enick at denick@cbiz.com or 727.572.1400.

blog comments powered by Disqus



Tags

Phoenix tax Accounting affordable care act Alex Elliott anna howell Audit audit and assurance Award Awards awards and recognition BEPS Best Places to Work Betty Isler Bill Tapp BizJournals biztips bizwomen Blog Brad Hale brenda brigman bryan koch CBIZ CBIZ Kansas City CBIZ KC CBIZ MHM CBIZ MHM Memphis CBIZ MHM Tampa Bay cbiz security and advisory services CBIZ Women's Advantage CBIZBlog CBIZKC CBIZMHM CFO CFO & Controller Conference cfo conference CFO of the Year CFO of the year awards Charity Community Involvement Conference Construction Controller Conversation With country club plaza Craig Gilman cwa Dave Enick DOL EBP EBP Audits Ed Rataj Employee Benefit Plan Audits Employee Benefits employee engagement EmployeeBenefits entrepreneur EntreprenurialServicesGroup ESG Eustis Corrigan events Food Drive healthcare HR Human Resources Innovation International Tax Jenny Matasic Josh Finfrock Joyce Farris Kansas City KansasCity karen cassella KC CFO Breakfast Series KC Events KCEvents Linda Lauer Lloyd Grissinger Local Managing Director Manufacturing Mark Baricos MBJ Megan Murdock memphis Memphis Business Journal Memphis Daily News memphis super women in business mentoring monday mergers and acquisitions moira house Networking NFP Not-for-profit Paul Dunham pci compliance Phoenix promotions real estate Revenue Recognition SALT Service Social Committee sonya daniels Sponsorships Start Up Start Ups State and Local Tax steve dunavant Success Super Women in Business Tampa Bay Tampa Bay Business Journal tangible property regulations Tax Tax Incentives tax reform The Daily News Top Workplaces Tracey McDonald transaction advisory services Transfer Pricing UMB Bank University of Memphis Volunteer workplace award