The KISS Method As Applied to Selling a Business

You’re Ready To Sell Your Business: Now What?

This article has solid tips; here are a few more.

A numbers savvy buyer is going to want several years of financials.  Assemble chronological binders of monthly and annual cash flows and balance sheets for several years.  If you cannot swiftly provide accurate financials of this nature, a sophisticated buyer will walk.

Do not be fearful of making capital improvements in the time period prior to soliciting buyers for fear of decreasing cash on hand in the business.  Many people do not want fixer upper houses, so who would want a fixer upper business.

Innovation and Square – A Solution to Tax Reform

No Innovation For Old Men

The article discussed the new technology of Square, the little square device that can attach to a smartphone and take a credit card payment.  One possible solution to refining the tax code is to change to a tax system based solely on sales tax, similar to how states such as Washington forgo income tax for sales tax.  If the use of Square becomes prevalent, if cash use declines, and if the tax code is based on sales tax, the data from Square could eliminate the need and cost for tax preparation with the technology collecting sales tax.  Collection rates could increase, thereby possibly causing overall tax rates for those that were always honest about their income to decline.

Of course, now the dishonest use technology to “skim” whereby a credit card transaction is processed, but the vendor does not track the sale to avoid sales tax…