Retiring owners are finding it difficult, near impossible to transfer their businesses, even at what previously might have been called “Fire-Sale” prices. Our recent sales and historic data suggests selling price across all SME’s has declined by approximately 30% since Christmas 2016. Parents increasingly cannot hand farms or businesses – whether professional or trade based – over to the kids due to the absence of investment finance.
The era of the small business funding owners’ retirement is swiftly coming to an end – but it’s much worse than that. What is going to happen to the new breed of entrepreneurs when they catch-on that there is no retirement pay-day.
Over the last thirty years, SME’s powered a generation from youth to present day, permitting baby boomers their freedom. Owning a small business provided community employment. It enabled people to buy groceries, buy homes, take holidays, pay school fees, pay sporting fees – in essence – SME income and expenditure drove the nation and the governments’ own tax revenue. Now these family owned small businesses are simply closing up – knowledge and skill is not being sold-on, handed-over or even given away. The wealth and experience held by an entire generation is dissipating like early morning mist on a pond.
All of us are feeling the onset of this tsunami. When the suburban professional, the tradie and the shopkeeper or service supplier reaches age 65 to 70 or becomes unwell and they are forced to simply shut up shop – how many associated jobs will also disappear into this whirlpool.
Yet some politicians continue to act and speak as if their war on business will have a beneficial outcome for the community. That they remain convinced we can forever drive economic growth via high taxes and more spending – rather than facilitating investment in business ownership, simply numbs the mind.
This is a call to all level of Government to take their foot off the throats of SME’s. National wealth is eroded with the closure of every small businesses. There is a real decline in national capital occurring right now with the accelerating numbers of business closures and fire sale handovers. The investment savings held by self-employed entrepreneurs in their SME businesses cannot be freed-up if it cannot be transferred.
Director – Negotia Group Pty Ltd
0401 308 385
The Negotia Group is a Collaboration
Between Graham Long And Kevin Lovewell
What Our Clients Say
“Over a considerable period of time, while looking for prospective purchasers, and then supervising the process of actual change of ownership of our business, Graham was supportive and helpful.
As a professional, he steered us through the minefields of current legislation and legal requirements. Advising calmly and concisely, or recommending other professionals for specialist roles.
He acted as conduit between purchaser and seller, including lawyers and accountants, taking the personal time-consuming hassles out of the whole process.
I couldn’t have started on this process without Grahams help, and certainly would never have completed a satisfactory sale without him.
I can unreservedly recommend Graham to you, for sincere, professional, honest and clear-cut advice. And a great result.”
“Couldn’t be more pleased and appreciative of the time and support that Kevin and his team shared with us as small business owners. Even months before our decision to sell our business, Kevin was there for a good conversation and support. There was no pressure to sell, just genuine professional guidance and someone to talk through and consider options with. I was truly impressed by the individualised support, the strong accounting backgrounds, and the expertise of the team. This is not the average business brokerage too big to care about the smaller businesses, their approach honest and supportive. We were not troubled by myriads of purchasers without the capacity to buy and both parties were very satisfied with the end result. Absolutely impressed from our initial conversations right through to settlement. I look forward to working with the Negotia team again!”
“After spending many months, time and money trying to sell my business it was a welcome relief when I discovered Graham Long. The support and advice which was available was instrumental to the sale of my business. Graham Long was, in a word, unbelievable. He demonstrated his experience and knowledge of everything from valuations to marketing and ongoing advice. The manner in which he conducted business was efficient and professional at all times. In contrast to other business brokers, the cost was fair and reasonable and the service was second to none, he went above and beyond what was expected.
I would more than recommend using Graham and his business to anyone looking to sell their business!”
“I have known Graham Long for the past 5 years on both a professional and personal basis. I would never consider buying or selling a business without using Graham’s expertise and vast knowledge.
Graham is a man who is both motivated and driven to provide thorough and accurate information and in my experience has always gone above and beyond clients expectations.”
“Thank you for a job well done and the personal service was second to none!”
“I have worked with Kevin for the last 2 ½ years. He is the greatest gift my EX Accountants gave me.
We had been in business for approx. 4.5 years and while we were growing and making money, I had up to that point had basically no idea about financials or marketing. It was time to actually feel in control. Kevin has helped me double the size of our business in 2 ½ years. I’m much more confident in my decisions and the daily running of our business. PLUS, I can see past tomorrow. He has helped me set goals and achieve them.
He has helped me manage some really difficult business decisions in the last 9 months. Using his advice and guidance but giving me the confidence to approach these tasks in my own style. Business doesn’t have to be a MAN’S WORLD.
The thing that I like the most about my time with Kevin is, he makes me accountable. Sometimes you need a push in the right direction. We can do it for our employees but it’s much harder to do it for ourselves.
For anyone sitting on the fence thinking about getting yourself a Business Coach/Mentor, get out of your own way! You DO have the time. It WILL help you to grow your business.”