Okay, I guess there’s a third option other than optimism and realism: You could be a pessimist, but we’re already assuming you’re not one of those. As a transportation business owner, it’s important to maintain a positive disposition, but at the same time, you need to be realistic as you set out to put your […]
Transportation
Can You Still Sell Your Transportation Business for Cash?
Maybe—but you probably won’t really want to. Even though an all-cash business sale is the ultimate dream for many business owners, such a dream is unlikely to come true. In fact, it might not even be the best case scenario, anymore. A large lump sum, with no strings attached, may become about as likely as […]
Owner Dilemma: Should You Keep Driving for Your Limo Company?
Limousine industry statistics show that the chauffeur business is largely comprised of small, independent operators with between one and five vehicles. In order to earn a living, most new business owners assume every role within their company, from office manager to primary chauffeur. But while multitasking can help get a fledgling business off the ground, […]
Steps to Take When Buying a Limo Business with a Partner
They say that two heads are better than one. Buying a limo company with a partner can mean splitting the cost, workload, and risks associated with going into business. Unfortunately, it can also mean doubling the trouble. Different people will naturally have different ideas about how to manage, operate, and expand a company. While it’s […]
Why Comparing Limo Business Value Is Counterproductive
Business owners often make the mistake of assuming they can price their company based on the value of similar limo companies for sale. But while it sounds counter intuitive, comparing two limo businesses is like comparing apples and oranges. A pair of companies may be nearly identical in terms of fleet size, location, and cash […]
How Sellable Is Your Chauffer Business?
There are many steps business owners must take to prepare a chauffeur business for sale. But perhaps the most important one is to ensure the business is sellable in the first place. Owners who assume their company will find a buyer right off the bat may be in for a rude surprise. According to the […]
How Much Is Location Worth in a Limo Business Sale?
For an industry that’s always on the go, the transportation business is surprisingly dependent on location. It’s not so much where you store your fleet or situate your management office that matters, but where you establish your market. From the costs of doing business to the concentration of customers and competitors, your general geographic region […]
3 Ways Experienced Employees Impact Limo Business Value
Employees are literally the driving force behind a successful limousine business. Besides expertly carrying out the everyday tasks that keep a company running smoothly, experienced drivers and management teams contribute to the long-run viability of a business by enhancing its value. Whether you’re hoping to expand your limo service or sell to a buyer for […]
How a Flexible Deal Structure Improves the Odds of a Successful Limo Business Sale
All too often, sellers focus all their attention on the purchase price without giving much thought to structuring a deal. But while all-cash deals might sound simple and convenient, they often come at a cost. These days, structured deals are much more common – and rewarding – than those comprised of lump sums. In fact, […]
Should You Sell a Limo Business to an Employee?
Successors don’t always have to be related. For a business owner unable to hand down a company to a relative – and uncomfortable selling to an outside party – a key employee may make a logical heir. With their industry acumen and vested interest, long-time employees may stand a better chance of maintaining business performance […]
Is It Time to Diversify Your Limo Fleet with a Bus Business?
The limousine business comes with pros and cons. On the one hand, it’s a relatively easy industry to enter. On the other hand, competing with more prominent rivals as a small chauffeur business can be tough. There are many strategies for standing out from the crowd, from focusing on excellent customer service to offering the […]
4 Signs Limo Business Owners Need a New Exit Plan
By definition, an exit strategy is a plan for leaving one’s current situation – in this case, your limo business. But if you wrote your most recent exit strategy back when you wrote your business plan, there’s a good chance it’s no longer relevant to your current situation. Between shifting business cycles, new regulations, and […]
The Importance of a Strong Selling Memorandum in Limo Business Sales
A selling memorandum is a first impression, marketing tool, and business plan all rolled into one. Not surprisingly, this all-important document can have a big impact on the outcome of a chauffeur business sale. By including the right information – and the right presentation – a strong offering memorandum benefits both buyer and seller. Attracting […]
3 Types of Buyers & the Different Ways They Value Your Chauffeur Business
Just like business owners have various reasons for selling a business, buyers have different incentives for purchasing one. When a company fits with an investor’s goals, they will be more willing to buy your limo business – and may even pay a premium for it. By better understanding the motivations behind different types of buyers, […]
Preparing for Due Diligence: Tips for Limo Business Sellers
Due diligence can be an intimidating concept for sellers. The idea of a potential buyer rummaging around in your affairs in order to verify your representations probably sounds about as appealing as an IRS audit. But buyers aren’t trying to make your life difficult – they’re just trying to ensure they’re making a wise investment. […]