AboutRobert Doblmeier, M.Sc. Expertise I am happy to answer questions about Small Business Sales i.e. Small businesses with Gross Sales in the 250K to 50 million dollar range. The business must be privately or closely held(no publicly traded companies).
Experience Why me? I am a full time business broker with a 14-year history in real estate in New York and Florida. I taught the New York State Licensing course for 2 1/2 years. I am the winner of VRs’ Prestigious Bronze Award for 2006, and a major reason my office won the Centurian Award in 2006. After just seven months in this office, I closed the deal that resulted in the largest single commission in our offices’ history, a record that stood for over 1 full year. I am an instructor for the Small Business Development Administration, teaching a course I designed and created called "How to Buy a Business". I am a Certified Networker and have won the Notable Networker Award three times in one year. I am also an instructor for the Referral Institute, teaching the Referral Pipeline course. In 2006, I was nominated to the Presidents' Business Advisory Council on Small Business. Most importantly, I have amassed a large database of recognized professionals that can facilitate your transaction.
Organizations The Referral Institute, Business Networking International, International Business Brokers Assoc., German American Business Council,
Publications Small Business Development Corp. and various private newsletters.
Education/Credentials B.Sc. Stockton College, M.Sc. Long Island University,
Awards and Honors Centurion Award for 2006, Bronze Award for 3Q 2006, Recognition for the First SBA loan done in the Office.
Past/Present Clients I can not , for reasons of confidentiality name past or current clients. I can name industries where I have facilatated a transaction: marine, furniture, beauty industry, education, food service, automotive, home improvement, construction, and tax industry.
Question one mortgage bank is fully operational wlicenses in 11 states, the other has ginne Mae approval. want to merger and use the operations and the licenses of the other, how do we set a value on that?
Answer one mortgage bank is fully operational with licenses in 11 states, the other has Ginne Mae approval. want to merger and use the operations and the licenses of the other, how do we set a value on that?
How do we set a value on that? Well my question is from whose prospective?
Look at this from 2 Points of view. Even though you're talking of a Merger we'll frame it FIRST as a buy and sell operation. First the seller: The seller should be able to calculate (to a reasonable degree# what they expect to earn over the next few years. 2-5 is the usual projection. It is based on what the seller has done in the past and what he can#to a reasonable degree# expect to earn going forward #assuming# all things stay the same or improvement that are all ready committed and underway are completed.
Now from the buyers POV; what can the buyer #to a reasonable degree# expect to earn using those same assets, over the same period of time going forward #looking again# in the same time frame. This is where the simple answer ends.
Internal and external factor now begin to take their toll. Both parties will be looking at similar #but rarely identical# data for the external factors, ie shrinking or growing markets, competition, money supply, regulation ect. What the seller cannot tell #easily# is what the buyer can do with those assets and how efficiently the buyer can use them. The more efficient buyer will make more and therefore can afford to pay more #if they chose#. They seller can only indicate what he would do to grow the business going out 3 -5 yrs. as indicated by improvements underway.
Since you’re merging and will #hopefully) have a symbiotic relation, you should be open to exchanging such information. Each “side” should have a method to determine the value of their respective assets that they are willing to share with the other. Management on each side will discuss the “reasonable-ness” of the estimates of value and how they were determined. Ultimately shareholders determine value by what they “give up” based on what they “get”
