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Thinking of selling

Does anyone have any experience in selling an AGRR in Fl? Average revenue is 750k -1m annually. I just recently started to
Charge full list, and much more labor/kit pricing to certain insurance companies, so I anticipate higher nets while maintaining the same overhead. I'm just getting burned out a little, and thinking of a couple new business ventures.
Net is around 20-25% I'm not experienced in selling a business, therefore, I have no clue what I could
Expect should I do so. Thanks for any feedback :)

Re: Thinking of selling

No Shelton you should not sell. lol

Re: Thinking of selling

Why would you sell a business with 20%-25% net profits to try other "business ventures" that most likely will have lower margins? If you're burnt out, you have the money to hire a manager and take on a lessor role.. If you still want to sell, hire a good accountant/attorney. You could expect an employment contract of at least 2) years ( you think your stressed out now?) and a sales price of approx. 4-5 times your annual net profits.

Re: Thinking of selling

Lol, this isn't Shelton, but I know him! He's over in Tampa.

Re: Thinking of selling

Thanks for the info. You're probably right, I was just wondering how to value a business. Sometimes I do I daydream about just being an employee again without major headaches.

Re: Thinking of selling

This IS Shelton, I heard about this post... It's funny, I can relate to the guy for sure! I just bought an extra van today,
And that's not conducive to someone wanting to sell the company. But... I am extremely open to large offers!!!

Re: Thinking of selling

If my instincts are correct i know who this little company is. I would be willing to buy you out cash! But we would like to see some paperwork and transactions for tax returns to reflect those figures. You know who we are. Call us!

Re: Thinking of selling

Yes , I know the initials "DK"... Tell "BH" I said hello. I'm going to see what this year brings. There are some hot irons in the fire that may pan out nicely. I really don't NEED to make a move on things, I was just putting feelers out. I have a great business with excellent employees, and a sale would only be contingent if their future with the company would be guaranteed. Maybe I'll sit down with you guys one day if I have a definitive plan for the next venture. Thanks for the response. Have a nice weekend.

Re: Thinking of selling

Fair enough. Thanks

Re: Thinking of selling

Sell. Best thing you'll ever do in this business. Sell for big money and sit back and relax. Just sell to big corporation with deep pockets. That is all I can say

Re: Thinking of selling

DR
a sales price of approx. 4-5 times your annual net profits.


This is what I was offered. Note that net profit is EBITDA (no depreciation, income taxes, amortization or interest expenses). A good accountant can help with that. Also, if you are not drawing market rate salary as manager, the buyer may add that back in since you need to be replaced. You can also add back any expenses that were more personal in nature (your car, health ins, etc)

Best thing to do is lean out expenses and max revenue for 1-2 years before a sale to get max value.

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