The decision to sell a business is often a difficult one because of the profound personal and financial impact. Many different influences bring business owners to this decision, including:

• Personal preference of the owners to retire
• Divorce or dissolving of partnership
• Worrisome exposure to business risks often aggravated by personal guarantee on loans
• Possible failure of the business if one or more owners become seriously ill or disabled
• Owner’s desire to pursue other business interests which may be more challenging or less stressful
• Lack of sufficient working capital
• A need within the company for new skills, new resources, or a new philosophy to cope with ever changing economic forces, government regulations, and competition

These valid reasons and many others, for considering a sale do not imply failure or willingness by the owner to accept less than a fair price for the business.

A business enterprise, like any asset, is worth what a buyer is willing to pay and not what a seller wishes to ask. Buyers ask countless questions, but they are primarily concerned with a fair return on their total investment. In addition, prospective buyers make many judgments about market position, proprietary know-how, competitive strengths, and quality of the assets, growth potential, and risks of the business.

To accurately determine the true worth of a business, the company’s accounting reports, prepared primarily for tax purposes, must be restated to reflect the true financial performance of the business. Business Brokers Hawaii has an exceptionally useful form to be used as a "Cash Flow Schedule". Business Brokers Hawaii helps the business owner determine the true value of the business and, most importantly, can help prospective buyers understand the reasons for such value and structure a sale for the maximum benefit of buyer and seller.

Sound working relations with employees, customers, suppliers, and bankers are important factors to a company. Any premature indication of a possible change in ownership could disrupt these relations and weaken the company’s competitive position. For these reasons, and many others, confidentiality is critically important at all stages. With the proper procedures, it is possible to minimize the risk of an untimely disclosure.

Every listing of Business Brokers Hawaii is assigned a pseudo or pretend name. We do all of our advertising, and internet marketing with the assigned name to protect the real identity. A comprehensive Fact Sheet is created for each listed business. The Fact Sheet contains two sections; a "Public" section and a very "Privy" section. The Public Fact Sheet section is featured on our website for all to see, but the Privy section of the Fact Sheet may only be viewed after the prospective buyer provides Business Brokers Hawaii with a signed Confidentiality Agreement and a Net Worth Statement. At that point, the potential buyer is given a Privy Password with which the potential buyer can "click open" the Privy Section. The Privy or Confidential section contains not only "facts and figures" but often photographs that would reveal the company’s identity. In every transaction, there is an appropriate time to reveal that a sale may be imminent. Proper timing of these sensitive announcements can contribute to a smooth transaction and reinforce the buyer’s willingness to proceed to a closing.

Generally, Business Brokers Hawaii chooses to make the announcement that a sale has occurred "after the closing" through an escrow process. Business Brokers Hawaii helps to ensure that information is kept confidential throughout the entire selling process.

Usually the best time to obtain the highest price occurs when sales and earnings are good and trending upward. A solid earnings trend will enable a buyer to pay a higher price and still meet his return of investment criteria. A history of good performance also gives the buyer confidence in projected future earnings.

However, market conditions for business sales also significantly affect the salability of a business. Today’s market is the best we have seen in the last five years due to a large number of serious buyers in the market, bank financing is readily available, lower interest rates, and the recent reduction in capital gain taxes nets the owner more cash at closing. Unfortunately, the happenings of "9/11" has with its resultant layoffs and massive downsizing has caused many to irrevocably decide to own their own business - never again to ‘work for the other guy’.

For most companies, there are several categories of prospective buyers. The most obvious are other companies in the same business for which the acquisition would be a logical expansion with potential economies of scale. Consideration should also be given to suppliers and customers of the business.

However, based on our experience in selling over a thousand businesses during our founder’s career, approximately 80% of the prospective buyers are individuals who want to control their own future. Many of them will be moving to Hawaii from other states and countries. They will consider retail, service, wholesale or manufacturing businesses.

Business Brokers Hawaii is in continuous contact with all categories of buyers. We utilize effective search procedures to find and screen those who are best qualified to buy. We would like to take credit for it, but in all honesty, the beautiful Hawaiian Islands are the primary reason our business is and has been brisk. After all, how many buyers are attracted to North Dakota?

Business Brokers Hawaii together with its founder can help, by using their experience and know-how gained from over 1,000 business sales, to guide the client through all of the complex steps required to sell a business. The first step will be our review of the company’s history and the client’s objective to make sure that a sale is the best course of action. This review includes an opinion of a range of selling prices of the business in today’s market. Often focusing on both the size of the down payment and the cash flow helps the decision process.

If the client decides to proceed with the sale of the business, Business Brokers Hawaii then prepares custom-tailored presentation documents, (comprehensive beautifully designed Fact Sheets emphasizing the business and Hawaii) and develops buyer prospect lists from its contact files and other resources, makes the proper approaches and screens the buyer prospects, and introduces only serious, qualified buyers to the client from whom we’ve secured Confidentiality Agreements and a Net Worth Statement.

Business Brokers Hawaii will handle the entire transaction from the initial introduction of the buyer through closing, including coordination with attorneys, accountants, landlords, leasing and utility companies, and title companies.

An owner may ask: "Why can’t I sell it myself?" There are several reasons why most owners choose not to want to:

• An owner representing himself cannot maintain anonymity and the lost confidentiality could seriously hurt the business
• An owner may not be knowledgeable in current areas of law, accounting, taxes, and marketing of businesses
• An owner typically does not have the ability or time to contact, screen and qualify a large group of prospects to find a qualified buyer who is serious and will offer a fair price
• An owner’s talents are much more effectively utilized in running the business than in trying to sell the company
• An owner generally would not have the experience, knowledge, and negotiating skills needed to sell his company efficiently and for the best price, particularly in a highly emotional negotiation such as the sale of a business where the buyer’s objectives are totally opposite of the owner’s

Business Brokers Hawaii has a trained professional staff knowledgeable and skilled in business transfers and they can make the sale of the business a reasonably pleasant experience. Call us to find out how we can help.

All of our previous clients and customers selected Business Brokers Hawaii to assist them in the sale or purchase of their business for the same reasons: Expertise and Proven Results! Ask to see some of our complementary letters of reference.

Who are we?

• A leader in the field of business brokerage
• The largest business brokerage company in Hawaii
• Our Founder together with Business Brokers Hawaii have experience in completing over 1,000 business transactions
• Our Founder taught business related subjects at the Maui Campus of the University of Hawaii
• A respected company with a 20-year history of successfully satisfying the needs of our clients in the sale of their business
• A full service broker who provides all of the services required from the initial appraisal to the final closing

Business Brokers Hawaii is a multifaceted firm, specializing in the following:

• Business Sales and Acquisitions
• Buyer Representation and Acquisition Searches

Management has over 75 years of experience in operating, appraising and selling businesses. Our Founder Milton Docktor, created, developed and proliferated the Docktor Pet Center chain to 300 locations within 200 cities throughout the United States, grossing over $170,000,000 annually. Business Brokers Hawaii was established in 1984.

The President of Business Brokers Hawaii - Kauai is Lauren Benton Augelo, whose proficiency includes business consultation, executive search and business strategies for profit enhancement.

The President of Business Brokers Hawaii on the Big Island of our state, Vern Bieraugel, excels in business acumen and as a business valuator and an accomplished Certified Public Accountant.

The Maui location is propelled by Milton Docktor whose 78 years have been fruitful as a business innovator. The glue that holds it all together is our Vice President in charge of Corporate Development, Phil Astrella - to view one of his many accomplishments, just look at the finest and most informative business broker website in the world, www.business-brokers.com.