Figuring Out if the Timing is Right to Sell Your Agency

April 12th, 2010

When is the best time to sell?
The answer might surprise you.

A "hot" market for mergers and acquisitions can have business owners contemplating the possibility of a sale. But even in favorable market conditions, the timing for a sale may not be right for every company.

Challenge:
A regional contingency collection agency focused on the healthcare market was struggling financially. High operational costs coupled with downward pressure on fees from its clients eliminated or reduced company profits. The board of directors was investigating options, including merging with a larger agency or an outright sale. The board and management needed to understand how their agency would be valued in today’s market.

Solution:
After numerous conversations with their own accountants, and a general appraisal firm, the president of the agency was directed to retain us to conduct a formal valuation. Our team of advisors has deep experience in the industry, having completed hundreds of agency valuations – many of which have been referenced in legal proceedings. We provided the board with a well-substantiated, accurate opinion of value.

Based on our assessment, the board and management decided to focus on the growth of the business, with the goal of increasing its value in preparation for a future sale.

What can we do for you?

Contact Mike Ginsberg,  at 240-499-3800 or by email to discuss your interests in confidence.

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