Sunset Family Business Radio

Recap: Kaufman Realty Group and Vistage-A Successful Partnership for Over a Decade

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On June 3, 2010, Pat Romboletti and Meredith Moore hosted Larry Hart, who serves as a Master Chair with Vistage International Group, and Craig Kaufman, Founder and President, Kaufman Realty Group, on Family Business Radio’s weekly program.

Larry began by describing Vistage, a company in its 53rd year, as the world’s largest CEO-support organization. It is structured by groups made up of 12-15 members whose purpose is to develop these top people in their various companies so that their businesses—and the individuals themselves—flourish. At which point, Craig jumped in and described Larry’s role as Master Chair  as “a great herder of cats.” 

Vistage encourages its members to get above the fray. Larry said, “I tell all my CEOs their job”, which is to:

• Set the long-term vision and culture
• Hold everyone accountable
• Establish and maintain the critical relationships for the business
• Develop key people.

As head of his own company, Craig has been a Vistage member for 12 years. Stability is what he prizes from his association with Vistage since his business is hyper-cyclical. He also admitted to a common problem of CEOs and family business owners—that they get buried and isolated in running the day-to-day operations. “If we don’t have people to help us work on the business rather than in the business, we can become very myopic,” he said.

Craig mentioned specifically one of Larry’s consistent mantras—“You plan for a crisis before the crisis.” For instance, in February 2003, an economist spoke to Larry and Craig’s group who basically forecasted the economic downturn we are now in. Craig said that he remembered so many people felt broadsided by the crash of 2008. However, after hearing the economist, his group’s focus shifted to creating value in their companies and three members sold at the top of their markets, prior to the crash.

By using his group as outside advisors, Craig has leveraged his experience at Vistage. He pointed out, “Most of us can see things so clearly in others that we are blind to in ourselves. In the beginning at Vistage, we were too nice to each other. But then we realized that we were investing too much time and money to “be nice.” For instance, I tend to fret on things. Finally one day, someone in the group called me [the name of a common acquaintance] who was a known worrier and fretter. I vowed to never be called that name again.”

Another group that Craig regularly deals with is his family, who are investors in several of his real estate ventures. Theirs is a yin and yang relationship, as with so much in life. He said that the good part is when you prove your credibility in your area of expertise. The danger in his circumstance is when you treat your family as family rather than as investors. Inevitably, the day arrives when you have to deliver bad news. He said he used to hate certain family get-togethers, even weekly phone calls, until he developed his “body armor” so that he could handle these encounters with confidence. With a consultant, he developed a script, a set of guidelines and boundaries, to help him get through the especially hard ones. He also shared the advice from his father, who spent his career on Wall Street: “Losses are losses. Don’t fret about it. Move on.”

Our guests mentioned a few worthy books:

Recommended by Larry:

• “Fierce Conversations” by Susan Scott, a Vistage chair. An impactful book for business owners that shows them how to have tough talks. By the way, it is fierce, not in its negative sense, but whenever something is a real experience leading to real change. Another bit of wisdom from Craig and Larry: you have to be willing to engage in some fierce conversations with your trusted advisors.
• “Growing Pains” by Eric G. Flamholtz and Yvonne Randle. A book on how to transition from an entrepreneurial company to a professionally-managed one.

Recommended by Craig:

• “E-Myth” by Michael Gerber. Craig said it helped him realize that business was a marathon, not a sprint.

Please download the entire conversation from our website. Craig and Larry shared a wealth of hard-won knowledge and wisdom that is sure to benefit you.

Craig Kaufman, Kaufman Realty Group, 3098 Piedmont Rd., Suite 490, Atlanta, GA   Telephone: 404-816-0036
____
Larry R. Hart, Master Chair, Vistage International, Inc., 3712 Eaglerock Drive, Atlanta, GA 30340   Direct: 770.938.8174  •  Cell: 404.405.0759  •  Fax: 404.521.4992   •  Email: larry.hart@vistage.com  • Website: www.vistage.com/chairs/larry.hart.html

Craig Kaufman launched Kaufman Realty Group in 1994 and the business continues on its successful path even during these challenging times.  Craig is the only member of his family responsible for running his business, but his family members have played a vital role as knowledgeable, proactive investors in his business.  Craig will help us understand both the ying and yang of such an arrangement. 

In addition, for the last 12 years, Craig has been part of a Vistage International Group led by our other guest, Larry Hart.  Larry is a Master Chair with Vistage and he and the other members of the Vistage group have also played key roles in Craig’s success.

Together, Craig and Larry will provide insights that we know you will find valuable for your business as well.

Our guests:

Craig Kaufman

Craig Kaufman founded Kaufman Realty Group (“Kaufman”) in 1994.  As President, Mr. Kaufman’s responsibilities include leading the company vision, establishing strategies for the portfolio, new business development, and managing the executive team. Kaufman Realty Group is a full service real estate investment and management firm. In 1997, Craig was principal and co-founder of DECK Realty Group, which developed and managed office properties for small to medium size tenants.

In January 2000, he took 100% control of DECK and rolled its operations into the Kaufman banner. From 1986 to 1994, Mr. Kaufman gained valuable experience as development analyst, appraiser and consultant in New York City and St. Louis, for such firms as Olympia & York, Colliers Turley Martin and Dinan Real Estate Advisors. Craig holds both a master’s and bachelor’s degree in Civil Engineering from Washington University in St. Louis.

Craig resides in Atlanta, Georgia, and is involved with many civic and professional organizations. He is on the Board of Directors of Camp Sunshine, a non-profit camp for children with cancer; on the Board of Trustees of the American Jewish Committee; a Board Member of the Anti-Defamation League. Additionally, Craig is a member of the Urban Land Institute.

Craig Kaufman, Kaufman Realty Group, 3098 Piedmont Rd., Suite 490, Atlanta, GA – Telephone: 404-816-0036

…..
Larry Hart

Larry Hart may have only one vowel to his name, but he’s certainly made the most of it! An Atlantan since 1972, he’s amassed accolades and awards for his business acumen, and he advises an A-list of action-oriented executives. He’s accessible, accountable, and an all-around affable guy.
 
Larry is recognized as a leading business authority by the Atlanta Business Chronicle. Although he is too busy now to write a regular column, the Chronicle has continued to seek his expertise on strategic planning and business consulting.
 
Larry’s corporate CV includes Union Carbide, Air Products and Chemicals, and Waddell and Reed. As an entrepreneur he has been a founder and an acquirer, and currently owns several childcare franchises. In addition, he’s a certified instructor in Fierce Conversations (a method of improving communication through more effective dialog) and a past Certified Financial Planner. Larry holds his degree in Chemical Engineering.
 
Larry is an active member of the Rotary Club of Dunwoody (President 2009-2010), Georgia. Married to Stephanie, a retired first grade teacher, they have 3 children and 8 grandchildren. Larry and Stephanie reside in Atlanta, Georgia with their miniature pinscher, Nutmeg. When not spending time with family, Rotary or working, he can be found playing competitive golf.

Larry R. Hart, Master Chair, Vistage International, Inc., 3712 Eaglerock Drive, Atlanta, GA 30340
Direct: 770.938.8174 • Cell: 404.405.0759 • Fax: 404.521.4992  • Email: larry.hart@vistage.com  www.vistage.com/chairs/larry.hart.html

Sunset Family Business Radio

Recap: Practical Strategies for Coordinating Efforts to Ensure Continuity of Your Family Business

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For the May 27, 2010 Family Business Radio program, hosts Pat Romboletti and Meredith Moore welcomed commercial banker Brad Beisbier, Sr, Vice President RBC and Cleve Hill, Attorney at Law with the Bettis Law Group.

Most banking relationships are based on the need for capital and cash management needs. But as Brad said, your banker can actually be one of your trusted advisors and actually a business partner if you develop the relationship strategically. For instance, quarterly reviews with your banker are a very useful tool for you as a business owner because it is easy to lose sight of long-term goals when you are focused on the day-to-day. Your banker can give you their perspective from the outside looking in. Quarterly meetings can also be used to put plans in place that help you better take advantage of opportunities when they arise. Pre-emptive actions that Brad suggested: be as transparent as possible by sharing financial statements and tax returns.

Additionally, Brad said to consider including more than just the founder at the table when the banker is there, especially invite all potential players in the company’s succession plan. In this way, relationships develop all the way around.

This opened the door for a great discussion on the importance of getting out from under the day-to-day details to develop long-range goals.  Cleve noted that in working with his clients, he seeks to put together a full compliment of trusted advisors who act as an informal board so that you can gain valuable third-party perspective and input.

From an attorney’s point of view, Cleve pointed out that in putting together your team of advisors, particularly as relates to succession planning, your team of advisors should be tuned into your specific needs. “The advisors that most often fail are the ones who come in with a pre-packaged plan and say this is how it has to work,” he said. Rarely are answers arrived at in one meeting. It is most often an in-depth conversation that takes place over time, he said.

In case you need incentive to do your estate/succession planning, Cleve shared a worst case scenario from real life.  He shared that a business owner died suddenly with no will, no trust, no planning, children from two marriages and left the business with substantial debt. In the aftermath, the family disintegrated and untold amounts of money have been spent on litigation and the continuation of the business is in jeopardy. It is a textbook case of what you don’t want to happen.

So—where to start with estate and succession planning?  Among Brad and Cleve’s suggestion are life insurance, buy/sell agreements and developing key employees outside the family as leaders in waiting. Cleve said, “These are moving pieces, depending on what can be afforded, what can be agreed upon. Do a cost/benefit analysis. Also be mindful of the psychological piece—and answer the question “what can we live with?”   Cleve’s insight on Georgia law was especially enlightening and not what you might have expected.

This discussion provided excellent specific suggestions that any business owner can use immediately so don’t hesitate to download the entire discussion.  You will receive loads of practical information for your family owned business on these complex, but very necessary issues.

Brad Beisbier, Sr, Senior Vice President, RBC Bank, (678) 987-7183

John Cleveland (Cleve) Hill, Bettis Law Group, LLC, 404-475-8041

While succession and estate planning are two critical pieces to any family-business strategy, too often key advisors are left out of the equation when developing those plans.  In so doing, you can jeopardize all of your best efforts.  On the other hand, coordinating efforts and getting everyone in the family involved with your team of advisors can make all the difference.

On our May 27th broadcast, our guests will be Brad Beisbier, Sr, SVP, RBC Bank and Cleve Hill, Attorney at Law, Bettis Law Group, LLC, who will help us understand how to leverage your trusted advisors to ensure that your family and family-business can weather even the most difficult times.

Our discussion will look at some situations that did not turn out as the family-business owner hoped and we will discuss strategies to prevent those situations for your business.

As always, there will be lots of useful and practical information shared and many take always for you and your business.

Our guests:

Brad Beisbier, Sr

Brad Beisbier, Sr was born and raised in Wisconsin where he received an undergraduate degree of Business Administration in Finance from the University of Wisconsin – Oshkosh.  After completing Wells Fargo Bank’s (formerly Norwest) management training program, Brad and his wife relocated to Atlanta where he joined Bank of America (formerly NationsBank).  While at Bank of America, Brad assumed numerous production and leadership roles.  He also received his MBA from Georgia State University’s Robinson College of Business and his Green Belt Certification as part of Bank of America’s Six Sigma efforts.

Brad joined RBC Bank in February, 2006.  Since then, he has been recognized as a Star Performer and served in several different production, strategic, and leadership roles.  Brad has built a portfolio of commercial operating relationships with an emphasis in manufacturing, distribution, and various professional services.  He serves on the board of the Greater North Fulton Chamber of Commerce and is a member of several industry and community associations.  Brad maintains a residence in Cumming, GA along with his wife and their three children.

Brad Beisbier, Sr, Senior Vice President, RBC Bank, (678) 987-7183
    

Cleve Hill

John Cleveland (“Cleve”) Hill  joined Bettis Law Group, LLC  in 2007 as an associate attorney.  Mr. Hill began his law practice in 2004 at Powell Goldstein LLP (now Bryan Cave Powell Goldstein), one of Atlanta’s oldest and largest law firms, where he practiced commercial bankruptcy law.   Presently, Mr. Hill focuses his practice in the areas of estate planning, including wills, trusts, special needs planning, powers of attorney, health care directives, probate and estate administration, conservatorships and guardianships, and small business entity formation.

A native of Cherokee County, Georgia, Mr. Hill attended Oglethorpe University in Atlanta, Georgia, where he received his B.A., magna cum laude, in 2001. While at Oglethorpe, Mr. Hill served two terms as student body president.  At graduation, Mr. Hill received the prestigious James Edward Oglethorpe Cup, which is awarded annually by the faculty of the university to an outstanding senior, along with the Pattillo Leadership Prize, the Charles Longstreet Weltner Award, and was an inaugural recipient of the President’s Community Service Award.  

Mr. Hill attended the Mercer University Walter F. George School of Law in Macon, Georgia where he obtained his J.D., cum laude, in 2004. While at Mercer, Mr. Hill served on the Editorial Board of the Mercer Law Review and graduated in the top 10% of his class. 

Mr. Hill resides in Canton, Georgia with his wife, Allie, and puppy, Reagan.  The Hills attend Woodstock First Baptist Church.   Mr. Hill is very active at his alma mater where he currently serves on the Oglethorpe University National Alumni Board of Directors and the President’s Advisory Council.  From 2007 to 2009, Mr. Hill served on the university’s Board of Trustees.  For the 2008/2009 academic year, Mr. Hill served as Chairman of Campus Life Committee of the Board of Trustees.

John Cleveland (Cleve) Hill, Bettis Law Group, LLC, 404-475-8041

Sunset Family Business Radio

Recap: Lisa Glauber Shippel – Estate Planning-Where Do you Start?

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On May 20th,  Family Business Radio host Pat Romboletti  flew solo (co-host Meredith Moore was out of town) and welcomed lawyer Lisa Glauber Shippel , Rolader & Shippel, P.C., who has a large part of her practice devoted to estate planning of all sizes. In addition to being a certified mediator in the State of Georgia, Lisa grew up in a family business and is now the sibling not involved in that family business.

Lisa’s family has a business operating camps in the NY area, but Lisa opted out and chose the path to a law career instead. 

Lisa and Pat began the discussion on estate planning by talking about the pitfalls to not having a proper plan in place. For instance, it complicates banking relationships and the loan process which the current recession has already complicated. It makes it hard on the heir in the business because it distracts them from taking over the reins. And, something Lisa knows about first-hand from her own family situation, if you have some children working in business and some not—how do you equably leave the estate to your children? What if the non-involved heir wants to get into the business now? If you want to leave the business to the child working in the business, how do make a fair distribution to your children not in the business? As you can see, the issues are varied and very thorny.

So–where to start estate planning process?

• First, sit down with a team of experts—attorneys, wealth managers, and CPAs. With their help, you will want to customize a plan based on your individual needs. “No form, no cookie cutter plan, will work,” Lisa said. “Every family-owned business has different assets and different goals. Your experts need to understand all the nuances of your business.” By the way, Lisa also pointed out that you need to have a sense of security that you can say anything to these people, without fear that you will be judged or information will be leaked. Honesty is the best policy when putting together a workable estate plan.
• Before the first meeting, gather a list of assets with their valuations. Also have in mind who your beneficiaries are. An end vision is nice to have, too.
• Be prepared to discuss succession planning as regards the management of the business. It is a complex process that professionals who know what they’re doing can make easier for you.
• There also needs to be a discussion about the way you want the business valued. That is, how to get it appraised—whether to go for the highest or lowest valuation—to reduce the in-fighting once you’ve passed.
• And the point at which to do all this? “Do it right away,” Lisa advised. No matter the size of your company, it’s always better—actually, cheaper—to have something in place.
• Finally, understand that much is out of your control. The estate plan is not a permanent document—it changes with laws, as your family circumstance change, as the economy changes.

In the end, it is a gift, a wonderful legacy, that you can give your children upon your death to have thought through estate planning issues. Don’t be daunted. While unfortunately there are no black and white rules on how to set up an estate plan, you can organize a team of trusted advisors to help get you there.

Listen to all of Lisa’s excellent insights by downloading the full broadcast here.

Lisa Glauber Shippel, Attorney  at Law/Licensed Mediator, Rolader & Shippel, P.C., 11660 Alpharetta Hwy. Suite 630, Roswell, GA – Telephone: 770-442-0330. lisa@roladerandshippel.com

On previous shows, we have touched upon the topic of Estate Planning.  The topic has proven to be of great interest to our audience, so on Thursday May 20th we will tackle the topic in great depth. 

Our guest, Lisa Glauber Shippel will provide insight on the current estate tax landscape—where uncertainty still reigns. She will also discuss how to tackle some of the more complex estate planning issues that are unique to family-business owners, especially when siblings have different levels of involvement in the family-business.

As always, we promise the show will be informative as we explore this vital topic.

Our Guest:

Lisa Glauber Shippel

Since 1994 , Lisa Glauber Shippel has represented sellers, builders, developers, purchasers and lenders in thousands of residential and commercial real estate transactions. She has experience in handling zoning matters in the City of Alpharetta, the City of Roswell and Fulton County, Georgia. A large part of her practice is devoted to Estate Planning and Probate. She drafts estate planning documents including wills, trusts, and family limited partnerships. She also administers and probates estates of all sizes. Her business practice includes the set up of new businesses including corporations, limited liability companies and partnerships. 

She assists clients in the sale or acquisition of businesses. Lisa is also a Certified Mediator in the State of Georgia. Lisa provides private and court appointed mediation services to assist parties in resolving legal matters and disputes. She acts as a neutral to help the parties involved come to a resolution controlled by them. By avoiding litigation, the parties will also save time and money associated with litigation. Mediation services are available after normal business hours and on weekends to further assist clients in resolving their matters efficiently.

Lisa obtained her Bachelor of Science in Journalism from the University of Maryland in 1991 and her Juris Doctor from New York Law School in 1994. North Fulton County has been her home since 1994 and she joined the firm that same year. She is active in the community and with her children’s schools and activities in Alpharetta. She was a founding member of and currently sits on the Board of the Alpharetta High School Foundation.

Lisa Glauber Shippel, Esq. , Rolader &  Shippel, P.C., P.O. Box 1357, Roswell, GA 30077, Phone: 770.442.0330, Fax: 770.442.0641, Lisa@RoladerandShippel.com, www.roladerandshippel.com

Sunset Family Business Radio

Recap: Maxine Burton of burton + BURTON™ - A Total Family Approach to Building a Successful Business

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On Thursday, May 13th, hosts Meredith Moore and Pat Romboletti were honored to welcome Maxine Burton, president and founder of burton + BURTON™, a family-owned and -operated business since 1982 based in Bogart, Georgia that is one of the largest suppliers of balloons and coordinating gift products in the world.  With husband Bob serving as CEO and with son and daughter working in the business, Maxine’s company offers more than 15,000 products including latex and foil balloons, ribbon, floral supplies, plush ceramics and baskets.

burton + BURTON™ is imbued with family. It is the essential characteristic of its corporate culture. “The business is important because it supports us, but family is the main thing,” said Maxine. Very early, she realized that since her customers were mostly family-owned businesses, they liked knowing her family. So her children often traveled to gift shows with her and Bob. Now her two grandchildren do. The children greet customers at parties and hand out cookies to them. Their pictures appear in catalogues and they inspire product design. And not to be out-done by the younger generations, her mother still works at the company—arriving every morning at 6:00!

This total family approach permeates the relationship with employees. “I want to know all my employees and their families,” Maxine said. “We like to say that we work hard and play hard.” She is a big proponent of in-house wellness programs, like high-blood pressure checks and mammograms. burton + BURTON™ also has had an in-house beauty salon since 1987. “It’s important for our employees to feel beautiful. They’re on the front lines—the clients are not only talking to me. Besides, any company can have a product. Our people are actually the number one thing we’re selling,” she said.

Because of Maxine’s collegiate background preparing to be a teacher, she is a big believer in education, even to the point of developing a Balloon University held each July at the Atlanta, Dallas and Chicago gift markets. “It’s where we educate our customers on how to use our products. We also hold business and design classes. It makes sense to us because we need our clients to be profitable. I see it as a big circle,” Maxine explained.

During the current recession, burton + BURTON™ had to make changes, like every other business. “We had to do more with less,” she said. “But we do see the recession coming to an end. We had tremendous January shows, especially compared to last year.” One tactic Maxine pursued throughout the downturn, though, was to continue to develop new products. “Our customers want to see what’s new, regardless of the economic climate,” she said.

There is so much more to the story—from philanthropy to the story of how Maxine and her company dedicate themselves to continuously designing new and exciting products.  So please download the hour-long discussion.  We are certain Maxine’s enthusiasm for her business, her family, her employees and her customers and her commitment to her community will inspire you.

Maxine Burton, President and Founder, burton + BURTON™, 325 Cleveland Rd., Bogart, GA    706-548-1588

On our May 13th broadcast, we are honored to welcome Maxine Burton, President and Founder of burton + BURTON ^TM,   a family owned and operated business based in Bogart, Georgia.  If you have ever purchased or received a latex or foil balloon—you have probably touched one of her products.

Maxine will share the story of launching her business in 1982 under the name of Flowers, Inc. Balloons.  Along the way from those very first days to building a business that is today one of the largest suppliers of balloons and coordinating gift products in the world, Maxine has also managed to raise a family, travel the globe, participate in her community and create a business where people love to work and where three generations of a family come together to build this thriving (and still growing) business.

A 2008 recipient of the Georgia Family Business of the Year Award, Large Category, burton + BURTON ^TM,  employs over 300 people—-all considered an extension of the Burton family.

Her company offers over 15,000 products including latex and foil balloons, ribbon, floral supplies, plush ceramics, and baskets. Maxine’s husband, Bob serves as CEO and her mother, son and daughter all work along side her to ensure their customers have—“the TOTAL gift Experience.”

You won’t want to miss a minute of this Bogart, Georgia and family business success story.  As always—there will be great insights as we feature this newest member of our Family Business Radio community.

Our Guest:

Since 1982, as president and founder of Flowers, Inc. Balloons, Maxine Burton has established her company as a leader in the balloon and gift industry.  Maxine earned a Bachelor of Science in Education and a Master of Education from the University of Georgia, where she was a member of Alpha Xi Delta sorority.  Se has continued her education at Harvard Business School, taking executive courses in 1998 and 2001.  Maxine has received numerous local and national awards recognizing her as a leader in her industry and for her service to her community, including the William E. “Billy” Hudson Distinguished Citizen Award, NE Georgia Council of the Boy Scouts of America in 2008, The Leading Woman Entrepreneurs of the World by The Star Group and Outstanding Georgia Citizen by Secretary of State Cathy Cox to name only a few.

Current Boards/Activities include:  Women’s Leadership Board of Harvard, Business School, University of Georgia Arch Foundation Trustee and Board Member, Georgia Ports Authority Board, St. Mary’s Foundation Board, First American Bank Board, One Georgia-Bank-Founding Board Member, Development Authority Athens –Clarke Country Board, Member of the Committee of 200, Member of Society of International Business Fellows, Leadership Athens and Leadership Georgia.

Maxine Burton, President and Founder, burton + BURTON™, 325 Cleveland Rd., Bogart, GA    706-548-1588 or 800-241-2094

Sunset Family Business Radio

Recap: Exit Strategy Secrets that Build Value

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Continuing Family Business Radio’s record of on-point topics for family-owned businesses,  Mark Dayman of Cap-Val LLC joined hosts Pat Romboletti and Meredith Moore on Thursday, May 6th to discuss exit strategies and company valuations.

From his perspective of working for a national appraisal-litigation support-exit strategy firm, Mark shared the good news that many deals are still being done today, albeit often in distress situations. “Buyers are looking for the low-hanging fruit,” he acknowledged. So now is a great time to make sure you don’t end up in that situation and instead come up with your personalized exit strategy. For family-owned businesses, “…the real objective is to build value over time,” he pointed out.

According to Mark, there are three main ways to build value:

• Identify your “value worlds,” that is, the people or entities that will most likely buy your company, and then plan accordingly. For instance, if you plan to sell to family members, you will probably use fair market value, which is one of the lowest standards of value. At the other end of the spectrum, you might seek a strategic transaction (targeting a business concern that sees the value of your company and prefers to buy a going concern rather than build a similar company from scratch). Other value worlds include management buy-outs and employee stock ownership programs (ESOPs).
• Enhance your company’s ability to produce income. Many owners think the first way to improve cash flow is to reduce expenses. And while it’s certainly important, a better way, according to Mark, is to work on the top line—ask and answer the fundamental question, “What are we selling to whom and at what price?” Another practical way is to clean up the P&L. For example, take out the personal luxuries, such as lake houses and boats. “Don’t operate as an incorporated personal checkbook,” Mark said.
• Reduce the risk in your business. Simply put, the higher the risk, the lower the value. There are many factors that will reduce risk, but one very important way is to create transparency by making yourself obsolete. (Swallow hard, entrepreneurs.) Buyers want to know, want to see, that the business they’re buying will survive once the founder is gone.

We took an interesting turn in the discussion about risk. In general, large businesses are perceived as less risky than small businesses. Mark said there are several reasons for this assumption. For one, it is presumed that large companies control their markets better. Also, they are perceived as having greater control over their production and distribution. Additionally, it is assumed that a large company has its second layer of management in place and therefore its existence is not dependent on one person.

Good news for small/smaller companies! You can address these issues, in the appropriate scale and ratio for the size of your business, thus building value and being competitive with the big guys. Start with a business plan. Set up a Plan B. Clean up your problems, especially any litigation. All things within the grasp of any business of any size.

Mark also discussed the team of trusted advisors best suited for developing an exit strategy action plan. No surprise to see a CPA and attorney. But he pointed out that a good financial planner—for both the company and your personal matters—is a good idea. Also a coach for key executives is often helpful. Finally—”Sometimes it’s not the owner’s best friends. You need right answers, not easy answers,” he said.

This illuminating conversation is available in its entirety as a download. You will appreciate Mark’s straight talk and insightful observations. Including his encouragement that now is a great time to plan an exit strategy. “The bad economy is forcing you to run your business more efficiently than ever and there’s money available for good value,” he said. “Take control.”

Mark A. Dayman, CPA/ABV/CFF, CVA, CapVal-American Business Appraisers, LLC,  The McLean Group LLC Investment Bankers  , 3525 Piedmont Rd  BLDG 7  STE 300, Atlanta, GA  30305, Telephone: 678-662-6478, mdayman@capval-llc.com