How to Sell a Business: What is Working Capital & Why it Matters
DIVEST MERGE ACQUIRE DIVEST MERGE ACQUIRE
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 Published On Feb 8, 2017

Here is an explanation of working capital and how it impacts a business sale. ***FREE DOWNLOAD - Working Capital Worksheet: https://tonybrown.net/working-capital...

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Videos:
- What is Due Diligence?:    • How to Sell a Business: What is Due D...  
- Handling Declining Profits During a Sale Process:    • How to Sell a Business: Handling Decl...  
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// How to Sell a Business: What is Working Capital & Why it Matters //

There is a lot of confusion about the treatment of working capital when selling a business.

Working capital features in business valuations, sale price allocation and sale adjustment calculations, to name just a few.

Most business owners and even some advisers don’t understand how working capital can impact on the goodwill of a business and how it is accounted for in the context of a business sale. The consequences of not knowing can be dramatic, with owners giving away substantial value without even realizing it.

The topic is too broad and too complex to cover in a single video, so we’ve broken it into a series of 3 videos so each aspect can be properly explained.

This is Video 1 of a series of 3 videos specifically on working capital in the context of a business sale transaction, the aim being to clear up any misconceptions and explain how optimizing working capital can benefit the existing owner.

If you found this video helpful, we’d appreciate a share or a thumbsup! Head over to https://divestmergeacquire.com/how-to... to check out our ‘How to Sell A Business & Realise Maximum Value from your Sale’ resource for plenty of other tips and strategies for improving the outcome of your business sale process.

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Related Content:
- What is Due Diligence?:    • How to Sell a Business: What is Due D...  
- Handling Declining Profits During a Sale Process:    • How to Sell a Business: Handling Decl...  
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