Selling the Family Business: Investment Banker See an Uptick in M&A Activity

Authors

James McCarthy

Source

Mainebiz

Date

4-20-2015

Pages

1, 28-30

Abstract

Sam Adams, an investment banker at the Portland office of Corporate Finance Associates, reports that businesses are now seeing more positive indicators and feeling the economy is solid enough that growth is possibly and sustainable. The result is that merger and acquisition activity is on the rise. The recovery has also meant a better valuation for small- and medium-sized businesses, and that older business owners may be considering this is the time to sell their businesses. Adams cautions there are factors outside of favorable macro-economic conditions owners must take into consideration and outlines an exit strategy his company advises potential sellers to consider. An insert on explaining EBITDA, or “earnings before interest, taxes, and amortization” or a measurement of the business’s free cash is included. [image, chart]

Subjects

Family-owned business enterprises--Management

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