National Pavement Expo 2022

This seminar was presented by Todd Eichholz, A & A Paving and Matt Slawson, Paradise Asphalt Maintenance & Next Level Contractor

This 90-minute seminar at the 2022 NPE was developed to provide business owner and key personnel attendees with important ideas that would help them maximize the value of their companies prior to listing them for sale. This was done by offering different scenarios of companies that were more – or less – ready for sale.

By using comparisons between the preparedness of Company "A" and Company "B," the presenters showed the value in preparation so as to maximize the sales price of a firm when being sold. For example, a less prepared but successful company:

• Wouldn't have planned by putting a leadership team other than the owner into place
• Would have financial issues that needed explanation
• Lacked systems and processes to ensure scalability
• Would need hundreds of hours in order to be in shape to sell

• Be successful and growing
• Have a strong leadership team, with the business NOT heavily reliant on owner
• Utilized technology, built processes and systems to ensure scalability
• Have clean financials with a strong history of growing margins
• Would have partnered with advisors to help maximize the value

Understanding the Internal and External Transition Process

When it comes time to sell, there are two basic options for the sale, internal to someone in the company, and external to a person and/or company not currently part of the firm. The presenters offered a variety of important factors to consider, from figuring sales price to BMPs for transitioning out of the company. The importance of being open to negotiation throughout the process is also emphasized.

An introduction is provided to the concept of EBITDA, which is how companies are typically evaluated for value. I.e., some multiple of the EBITDA number that is generated by the company's financials.

You will learn how to develop your plan of selling (on the owner's side) or for buying (if you're considering buying a business). This is done for both internal sales and when selling to someone outside the company. The presentation PDF file, linked below, offers many factors that should be considered on each side of that equation. Throughout, the presenters emphasize the importance of negotiation and transitioning through the process, which they outline in detail.

Types of Buyers for Your Business

The next section discusses finding the right buyer. There are various kinds of buyers for your business. Understanding them is essential to how you approach the sale of your company. The different types of potential buyers are outlined, with what to expect from each.

Sound Interesting?

If you'd like to know more, based upon the synopsis we've provided, we suggest that you download the presenters' PDF file of their presentation. Both gentlemen also have said they are open to answering questions you may have. To facilitate that for you, they have included their contact information and email addresses at the bottom of their presentation PDF. This info is also shown below.

Note that via its arrangement with NPE for seminars sponsored by the World Sweeping Association, which this one was, members of the WSA are able to view this seminar on YouTube in its entirety. To see the many other benefits of WSA membership check out this link.

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