Brad Williams has 15 years of experience in the investment banking industry. He has structured and executed a wide range of complex transactions, including corporate sales, acquisitions, mergers, inter-family planning options, joint ventures, recapitalizations and leveraged buy-outs. Brad can reached at email@example.com / 717-951-2800 for further comments or questions.
This past year has been an unprecedented year for the mergers and acquisitions (M&A) space, hitting $5 trillion in volume in 2021 through over 40,000 transactions. The number of transactions in the distribution and manufacturing space has caused owners to take a closer look at their options regarding selling and/or acquisition options.
The FED has plans to raise these rates slowly throughout the year, but the last time Jerome Powell (current FED chairman) attempted this in 2018, he had to revert his course and lower rates once again. It is possible that Powell is forced to keep rates low again, even with high inflation.
The federal gift and estate tax exemption is currently the highest it has been since the tax was enacted over 100 years ago. President Joe Biden has proposed drastically changing the estate tax in order to raise revenues for his infrastructure plans.
“As we enter into 2022,” — when you say that out loud it sounds a lot like “2020-2.” Don’t be alarmed, I believe things are moving in a positive direction. I have laid out trends that I see as important factors moving into the new year. I am not going to prognosticate about where the stock market is going, but rather about what I feel is going to be the most important factors impacting supply houses across the country.
As a business owner, you are constantly comparing business performance not only to competition but to previous year earnings and performance. In merger and acquisition transactions, EBITDA is often used by companies to compare similar businesses in the same market. Understanding how to use EBITDA can help your overall performance and make sure you are prepared in the event of a business sale or purchase.
The decision to sell any business involves a complex set of decision-making points. The business’ underlying value, health of the overall industry, interest rates, growth potential, geographical location, owner’s age, taxes and many other factors contribute to an owner’s decision to sell or instead focus on succession planning.