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selling your homecare business

Selling to Insiders – How Much Can you Sell your Home Care Business for?

If you wish to transfer your business to an insider(e.g. employees, children, co-owners) and want to receive full value, then generally that value cannot exceed four times your true cash flow.  We define “true cash flow” as the pre-tax money distributed to owners via salary, bonuses, company distributions such as S-distributions, and all rental payments […]

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Value Driver 4:  Leveraging Human Resources

Value Driver 4: Leveraging Human Resources

We have been discussing the various methods home care owners use to build valuation in their companies to achieve their exit planning goals.  Foremost in this process is creating a written value-building plan, which includes four important value drivers: Value Driver 1:  Business fundamentals Value Driver 2:  Strategic Planning Value Driver 3:  Systemizing Internal Operations […]

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Value Driver 3: Systematizing Internal Operations in your Home Care Business

Value Driver 3: Systematizing Internal Operations in your Home Care Business

*We have been discussing various methods business owners use to build value in their home care companies to achieve their post-exit goals.  Foremost in this process is creating a written value-building plan, which includes four important value drivers, today we discuss Value Driver Three, Systemizing Internal Operations in your Home Care Business The systematization of internal operations […]

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Value Drivers? Have you Created Systems that Key Employee’s Can Execute in Your Absence?

Value Drivers? Have you Created Systems that Key Employee’s Can Execute in Your Absence?

Case Study Dawn and Preston Slater, owners of a machine shop with $7 million in annual revenue, sat down and announced, “We have decided to leave the business as soon as possible. We’ve got our management team in place and want to execute a transfer of the entire business in the next six to 24 […]

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How Much is All This Exit Planning Going to Cost?

How Much is All This Exit Planning Going to Cost?

In a previous blog, fictional owner, Dennis Bradenton, had called his accountant to ask her to help him transfer his company to his management team. No stranger to Exit Planning, his accountant assembled all of Dennis’s advisors and launched a complete Exit Planning process. She began, not with an examination of how a transfer to […]

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Can You Sell Your Home Care Company to an Outside Third Party?

Can You Sell Your Home Care Company to an Outside Third Party?

Making the Case for Transfer to Insiders Here at Partners31 we talk to business owners every day who are convinced third party sales are safer and more profitable than insider transfers (to family members or employees).  Are they correct? As diplomatically as possible, we suggest that they just might be dead wrong. Third party sales […]

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