This is a really special market update for us because this is VBA’s first quarter of trade.
Partner Statement:
We officially opened for business on 18th August 2019 and we can already see our hard work starting to come to fruition and pay off for our clients. The months that we spent locked away, developing and building our internal systems, wow there were some very frustrating hours put in looking back! The result is that we kept the entire process in house, so this means that we can produce and rely on our own data. Measuring data such as page positions of for sale ad’s, gives as the tools to be able to outperform our competitors. All the hard work we did back then means that today we can operate with such a high level of efficiency and most importantly effectiveness, so to our clients and to us, it was worth every second.
Regards,
Dan Levitus
Daniel Kogan
VBA Update
We are extremely proud to now be representing 15 businesses with a contract value of a little over $6M. On these 15 businesses we have generated a whopping 261 non disclosure agreements. I really want to brag about this a little because we invested so much work into this particular area of the business selling process.
A really large part of how we designed our model was identifying the fact that quality high volume buyer leads is absolutely central to our whole business. It is the essential starting point and core of the entire transaction, and therefore our ability to sell businesses. It’s our concrete slab of which we are now building our house of deals.
We have now settled one business for $1.25M and have another business settling soon circa $1.75M. In the last 2 weeks we have received 2 new offers and are issuing agreements shortly.
We are trading at around 15% capacity now, and we are extremely excited to say that we have over $150,000,000 in the pipeline of which we expect to take around 30% to market on this side of Xmas.
Market Summary
Buyer sentiment is extremely strong in our view. We have noticed an increase in enquiry which spiked at the beginning of August. Often there can be a slow down in Q1 as Vendor’s and Buyer’s alike, rush to arrange their own personal affairs at the end of the financial year. Enquiry has risen steadily since July, and we expect this will continue until mid-November, where it normally then spikes heavily for around 2-3 weeks between December and January. Something about Christmas and the New Year – (gosh we are talking about that already!) a lot more people become inspired for a fresh start to enter or exit their business.
The only part of the market that we can see has declined is food retail. There is a huge amount of stock, so it’s important more than ever for food retail businesses looking to sell to stand out against the other stock available. A strong business profile, great marketing, financial transparency and competitive pricing will be really important for these businesses.
Remember almost no one settles businesses from the first week of December until the second week of January. If you are looking for a sale that is going to settle by the end of November, remember 6-8 weeks is normal for the contract stage, landlord approval and handover so, if you want to sell on this side of Christmas you need your offer accepted by next week at the latest!
Message for business owners
One thing that every business owner should do:
HAVE YOUR BUSINESS VALUED EVERY 12 MONTHS - Get your business valuation with Vision Brokers and Advisors for free (valued at $4,500)
Email info@vbaaustralia.com.au for a free business valuation with Vision Brokers and Advisors.
We really believe in the importance of perspective, and we really believe in pushing this message. Perspective is critical for effective strategic growth in you as an individual, and your in your business.
Watch this 3-minute video on why it is so important for every business owner, of every industry:
OFF MARKET OPPORTUNITY - FOOD MANUFACTURING BUSINESS FOR SALE
Vision Brokers and Advisors is taking this business to market in 4 weeks. We are offering this to our mailing list NOW
Net profit grown 12% PA for 5 years in a row.
Recent addition to client base, the profit is about to double.
Volume in production can increase by over 100%.
Established longer than 10 years.
Current Ebitda $1.125M for the 2018 FY.
Email VBA to get early access to this pre-market opportunity: info@vbaaustralia.com.au
MESSAGE FOR BUYERS
Make sure you are prepared when you start looking for a business. Being able to move quickly in the pressure cooker of the negotiating phase can make all the difference.
Watch the Video HERE:
Our mission is to transcend the standards of the business broker industry, and this means so much more than just selling businesses.
We would love for you to be part of our community.
From all of us at Vision Broker and Advisors, we really look forward to working with you.
Good luck, and make sure you have a look at our business for sale.
https://www.vbaaustralia.com.au/businesses-for-sale-vision-brokers