1. What stood out most to me from the reading was how long of a process it actually is to valuate a business. There are so many forms, it requires so much more of a specific look into details from businesses to valuate them. After the first figure (Figure 4.1), I thought that was it but then examples of additional forms just kept coming page after page.
2. I was a bit confused in the shortcomings of closely held ventures, once again it mentions that lack of management depth is a common error made and I continue to wonder how business have managed to even stay together long enough to become established without proper management skills? It seems like way too big of risk to start off a venture with such a large problem.
3. If I could ask the author something it would be if newspaper advertising and mail announcements were still being held accounted for in the total amount needed to buy a business because today, most things are announced online via a more direct method such as email or online ads?
4. I don't agree that a pessimistic view is often taken when it comes to buyers because they are trying to determine the lowest possible price to pay. Sometimes, buyers are willing to spend more if they believe a business really has the potential to bring them a bigger share. I believe buyers look more of opportunity rather than to take advantage of the seller.
No comments:
Post a Comment