Permanent Podcast: Real Talk About Private Equity and Buying, Selling, and Operating Small Businesses cover image

Permanent Podcast: Real Talk About Private Equity and Buying, Selling, and Operating Small Businesses

Latest episodes

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Sep 23, 2019 • 8min

Negotiating: Tips (EP.31)

We all have our own negotiating style and most of them can be effective... if you stick to it.  Whatever method you choose, you're best served knowing as much as you can about the buyer's motivations.  In this episode, we give you a list of questions that will help you prepare to represent your needs and your company in the most effective way.  Discussion with Brent Beshore and Emily Holdman starts @ 2:21.
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Sep 23, 2019 • 4min

Negotiating: Identifying a BATNA (EP.30)

What the heck is a BATNA?  It's an industry acronym for Best Alternative To a Negotiated Agreement.  In other words, what's your backup plan if negotiations with a prospective buyer fall through?  In this episode, we talk about the importance of developing a solid BATNA and the role it plays in your conversations with buyers.  Discussion with Brent Beshore and Emily Holdman starts @ 1:15.
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Sep 23, 2019 • 7min

Negotiating: Walking In The Buyer's Shoes (EP.29)

All buyers have one thing in common: they expect a return on their investment.  So what is the best way to market your company to buyers knowing they won't invest if they don't see growth potential?  This episode hits on some important do's and don'ts as you present your business to prospective buyers.  Discussion with Brent Beshore and Emily Holdman starts @ 2:05. 
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Sep 23, 2019 • 4min

Negotiating: Formulaic vs. Numerical Deal Value (EP.28)

Pros and cons of formulaic and numerical approaches to valuing a business in a sale, including the importance of recent performance and potential complications. Benefits and considerations of using formulaic versus fixed number approach in negotiations, emphasizing understanding adjustments and discussions related to post-cap X net owner earnings.
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Sep 23, 2019 • 7min

Negotiating: "You Set The Price, I'll Set The Terms" (EP.27)

As a seller, it can be easy to fixate on the valuation and cash at close numbers, especially when they are some of the largest you've seen in your lifetime.  But the structure and terms of the deal are equally important.  In this episode, we explore how to work with your potential buyer to make sure the structure of your deal is a reflection of your needs and expectations.  Discussion with Brent Beshore and Emily Holdman starts @ 3:02.
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Sep 23, 2019 • 3min

Negotiating: The First Move (EP.26)

Buyers commonly make the first move in a transaction.  As a seller, this often catches us off guard (in a good or bad way).  In this episode, we discuss how to digest an initial offer and the importance of communicating our expectations clearly and transparently.  Discussion with Brent Beshore and Emily Holdman starts @ 1:34.
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Sep 23, 2019 • 8min

Financial Structures: Owner Post-Close Employment & Consulting (EP.25)

Exploring post-close compensation in business transactions, including trade-offs between salary and incremental payout, structure of compensation for consulting roles, and inclusion of non-compete clauses. Discussing frustration of compensation negotiations during due diligence and transition from full-time employment to consulting, emphasizing the importance of honesty, alignment, and individual contributions.
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Sep 23, 2019 • 6min

Financial Structures: Real Estate & Cap Rates (EP.24)

This podcast delves into the importance of real estate in business transactions, exploring lease negotiation, fair market value appraisal, and cap rates for investments. It also highlights real estate as a tool for enabling business returns rather than a standalone investment.
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Sep 23, 2019 • 10min

Financial Structures: Reps & Warranties (EP.23)

Reps and warranties.  Indemnification.  Caps and baskets.  Are you still awake?  In this episode, we break down the legalese into digestible concepts and walk through how this section of a contract can be used to protect yourself and communicate critical information to a potential buyer. Discussion with Brent Beshore and Emily Holdman starts @ 2:34.
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Sep 23, 2019 • 6min

Financial Structures: Employee Option Pools (EP.22)

Done well, Employee Option Pools present compelling incentives for the employees running the company post-close.  As with most components of a deal, the structure and the math matter.  In this episode, we talk about potential pitfalls and the hallmarks of a well-constructed employee compensation plan.  Discussion with Brent Beshore and Emily Holdman starts @ 1:09.

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