By Maurie Cashman Is employee ownership appropriate for every employee? Consider this example. Tom Pace was dedicated to his business and to each of its 48 employees. As he began thinking of the day when he would leave his wholesale landscaping supply business his thoughts turned to selling the company to the three key employees who had done so much to build the business and who ran it on a daily basis.
By Jarrett Davidson , March 21, 2016 Takeaway: MBOs are risky, but can be mutually rewarding when these three key areas of focus are done right. An increasingly popular transaction is occurring as a result of baby boomers retiring: the management buyout (MBO). As baby boomers age and finally retire, their executive or senior management employees aspire to own the business. This type of transaction is appealing to both parties and is one of the riskiest and most difficult transactions
The number of election year midnight regulations imposed during lame-duck periods typically doubles. And that is especially true when a rival party is assuming the White House. The midnight rules are the so-called regulations created by the executive branch of an outgoing President’s administration, between the November election and the January inauguration. But throw in the “Cinderella effect” and “status quo bias” and things can get pretty messy in the world of regulatory actions. So,
By Maurie Cashman There is a new republican majority after this year’s election. A significant driver of this election was the desire to reduce the burden of government regulation from U.S. businesses. However, nothing will change unless it is followed up by action, and in the short term bureaucrats may be trying to get their rules in place before the new administration takes office. Here are a few issues that you might consider writing to
by Gabe Lacques, USA TODAY Sports Although they trail 3-2 in the World Series and are bidding to become the first team since 1985 to overcome a 3-1 deficit to win a championship, the Chicago Cubs feel good about their chances. Here are several factors that buoy the Cubs’ hopes as the series heads back to Progressive Field.
By Maurie Cashman Opportunities to learn often come suddenly and then they are gone. Great performers are able to identify and capture those opportunities to learn very quickly from an experience or situation they are presented with. Great managers have the experience to see these opportunities and create environments for their team to consistently capture these fleeting moments when experience is created. “Learning is not compulsory; its voluntary. But to survive, we must learn.” W.
By Maurie Cashman Sometimes the answers are simple but not obvious, particularly when the problem is something we see every day. Can you solve the following simple problem? (Note, you have 20 seconds to answer) I often come across problems like this when performing a business valuation or when beginning to work on an ownership transition plan. Things will jump out during analysis of a business that are simply not visible to the business owner.
Everything You Need to Know About Procuring and Managing Working Capital May 3, 2016 by Larry Alton In Finance 2 Have you ever thought to yourself, “If I just had enough working capital, I could push my business in the right direction?” Well, the good news is that there are ways to bring in working capital from the outside and grow your business. You will need a strategy, though. The In’s and Out’s Of Managing Working Capital When looking at the
Buy-Sell Agreements Keep Your Business Afloat Alex and Brad, both in their mid-forties, had just celebrated the tenth anniversary of Consulting, Inc., their market consulting business. The next morning, before going to work, Brad suffered a heart attack while jogging and died later that day. Alex suddenly lost his long-time business associate. What’s more, after the estate was settled, he found himself with a new co-owner — Brad’s wife. The result was chaos.
By Maurie Cashman In the past two weeks we’ve looked at several key elements of your buy-sell agreement and the transfer events that can trigger a buyout. Let’s look at the types of changes that can transform that robust buy-sell you created years ago into a cumbersome and potentially dangerous relic. We’re also including a checklist that will help you assess the sustainability of your buy-sell agreement.