The MHEDA Journal - Third Quarter, 2017 - 88

MONEY

BUSINESS ANALYSIS

MATTERS
Keep/Sell/Grow -
Business Analysis

T

BY JOHN FYE & JOHN MCALISTER - THE BERINGER GROUP

he lifecycle of a closely held business can be described as
start-up, early adoption, growth, sometimes hyper-growth,

*

maturity, and then slow death. The reasons are simple
to define as to why some private family companies can

transform if necessary to survive decades after being founded. The
owners of these companies fully understood where the business

*
*

was going and continue to remain in sync with the marketplace.
All too often, many family owned businesses become "lifestyle"

*

enterprises for the ownership. A family business should be able to
support a lifestyle for those owner(s) who are most responsible for
its success, but liquidation value is not equivalent to the real value
that creates the cash flow for the owner(s).
Another major concern for family
owned companies is how to transition
the enterprise to the next generation of
ownership and operational leadership.
Without a clearly defined and robust plan
of transition, the family probably won't
be able to hold on to the business, and it
will either be sold or it will fail to survive.
The Beringer Group and its affiliated
companies has been helping families
transition their most valuable asset(s)
since 1979. We have helped over 2,200
families realize their dream to Keep/
88

MHEDA | themhedajournal.org

Sell/or Grow their family enterprise. We
are now working with the 3rd generation
of owners of clients who started with us.
For any business owner to make the
very best decisions about the future
of the enterprise, the owner(s) should
fully understand a variety of critical
issues. These include:
* Is there successor management
in place and have they been
battle tested?
* Does this management include
members of the family, or would it

*

be best if an outsider were brought
in to run the Company?
What management structure is
in the best interest of the family,
the business, its employees, the
community, and most importantly
- your customers?
Can the senior generation
afford to retire?
What is the best way to transfer
ownership and what is the
economic cost of doing so at the
occurrence of different events -
lifetime or at death?
What dealer agreements are in
place now that may be changed
upon a transfer of ownership? Are
your current documents congruent
with the dealer, financial, or
banking covenants?
How well is the family enterprise
positioned to live long and prosper?

If you are planning to SELL:
* When is the appropriate time
to sell?
* What needs to be done to prepare
the business for a sale?
* What are the restrictions, if any, in
your current dealer agreements?
* What is a realistic timetable to
market the opportunity, obtain
LOI's, work through due diligence
and close?
* Who are the target buyers -
Financial, ESOP, Strategic,
Key employees?


http://www.themhedajournal.org

Table of Contents for the Digital Edition of The MHEDA Journal - Third Quarter, 2017

Chairman’s Perspective
From the Desk of Liz Richards
Editor’s Note
2017 MHEDA University Calendar
Ask Your Board
MHEDA MEMBER PROFILE
@WORK
WOMEN IN INDUSTRY
INDUSTRY PULSE
BEST OF THE BEST
HAPPY ANNIVERSARY
CLARK MATERIAL HANDLING COMPANY
MHEDA WORKS WITH MSSC TO DEVELOP CERTIFIED FORKLIFT TECHNICIAN DESIGNATION PROGRAM
49 EMPLOYEE ENGAGEMENT IDEAS
2017 EMERGING LEADERS CONFERENCE
DOES YOUR LIFE PASS THE CREATIVITY & INNOVATION QUIZ?
GET CONNECTED, GET AHEAD
MHEDA Convention 2017 Recap
THE MASTER'S PROGRAM IN DEALER MANAGEMENT
KEEP/SELL/GROW-BUSINESS ANALYSIS
New Members
Spotlight on Association News
MHEDA Milestones
Index of Advertisers by Product Category
Index of Advertisers Chronologically
The Last Word
The MHEDA Journal - Third Quarter, 2017 - cover1
The MHEDA Journal - Third Quarter, 2017 - cover2
The MHEDA Journal - Third Quarter, 2017 - 3
The MHEDA Journal - Third Quarter, 2017 - 4
The MHEDA Journal - Third Quarter, 2017 - 5
The MHEDA Journal - Third Quarter, 2017 - 6
The MHEDA Journal - Third Quarter, 2017 - 7
The MHEDA Journal - Third Quarter, 2017 - 8
The MHEDA Journal - Third Quarter, 2017 - 9
The MHEDA Journal - Third Quarter, 2017 - 10
The MHEDA Journal - Third Quarter, 2017 - Chairman’s Perspective
The MHEDA Journal - Third Quarter, 2017 - 12
The MHEDA Journal - Third Quarter, 2017 - From the Desk of Liz Richards
The MHEDA Journal - Third Quarter, 2017 - 14
The MHEDA Journal - Third Quarter, 2017 - Editor’s Note
The MHEDA Journal - Third Quarter, 2017 - 2017 MHEDA University Calendar
The MHEDA Journal - Third Quarter, 2017 - 17
The MHEDA Journal - Third Quarter, 2017 - 18
The MHEDA Journal - Third Quarter, 2017 - 19
The MHEDA Journal - Third Quarter, 2017 - 20
The MHEDA Journal - Third Quarter, 2017 - Ask Your Board
The MHEDA Journal - Third Quarter, 2017 - 22
The MHEDA Journal - Third Quarter, 2017 - 23
The MHEDA Journal - Third Quarter, 2017 - MHEDA MEMBER PROFILE
The MHEDA Journal - Third Quarter, 2017 - 25
The MHEDA Journal - Third Quarter, 2017 - 26
The MHEDA Journal - Third Quarter, 2017 - 27
The MHEDA Journal - Third Quarter, 2017 - 28
The MHEDA Journal - Third Quarter, 2017 - 29
The MHEDA Journal - Third Quarter, 2017 - 30
The MHEDA Journal - Third Quarter, 2017 - 31
The MHEDA Journal - Third Quarter, 2017 - 32
The MHEDA Journal - Third Quarter, 2017 - @WORK
The MHEDA Journal - Third Quarter, 2017 - 34
The MHEDA Journal - Third Quarter, 2017 - WOMEN IN INDUSTRY
The MHEDA Journal - Third Quarter, 2017 - INDUSTRY PULSE
The MHEDA Journal - Third Quarter, 2017 - 37
The MHEDA Journal - Third Quarter, 2017 - BEST OF THE BEST
The MHEDA Journal - Third Quarter, 2017 - 39
The MHEDA Journal - Third Quarter, 2017 - 40
The MHEDA Journal - Third Quarter, 2017 - 41
The MHEDA Journal - Third Quarter, 2017 - HAPPY ANNIVERSARY
The MHEDA Journal - Third Quarter, 2017 - 43
The MHEDA Journal - Third Quarter, 2017 - CLARK MATERIAL HANDLING COMPANY
The MHEDA Journal - Third Quarter, 2017 - 45
The MHEDA Journal - Third Quarter, 2017 - 46
The MHEDA Journal - Third Quarter, 2017 - MHEDA WORKS WITH MSSC TO DEVELOP CERTIFIED FORKLIFT TECHNICIAN DESIGNATION PROGRAM
The MHEDA Journal - Third Quarter, 2017 - 48
The MHEDA Journal - Third Quarter, 2017 - 49
The MHEDA Journal - Third Quarter, 2017 - 49 EMPLOYEE ENGAGEMENT IDEAS
The MHEDA Journal - Third Quarter, 2017 - 51
The MHEDA Journal - Third Quarter, 2017 - 52
The MHEDA Journal - Third Quarter, 2017 - 53
The MHEDA Journal - Third Quarter, 2017 - 54
The MHEDA Journal - Third Quarter, 2017 - 55
The MHEDA Journal - Third Quarter, 2017 - 56
The MHEDA Journal - Third Quarter, 2017 - 57
The MHEDA Journal - Third Quarter, 2017 - 58
The MHEDA Journal - Third Quarter, 2017 - 59
The MHEDA Journal - Third Quarter, 2017 - 60
The MHEDA Journal - Third Quarter, 2017 - 61
The MHEDA Journal - Third Quarter, 2017 - 62
The MHEDA Journal - Third Quarter, 2017 - 63
The MHEDA Journal - Third Quarter, 2017 - 64
The MHEDA Journal - Third Quarter, 2017 - 2017 EMERGING LEADERS CONFERENCE
The MHEDA Journal - Third Quarter, 2017 - 66
The MHEDA Journal - Third Quarter, 2017 - 67
The MHEDA Journal - Third Quarter, 2017 - 68
The MHEDA Journal - Third Quarter, 2017 - 69
The MHEDA Journal - Third Quarter, 2017 - DOES YOUR LIFE PASS THE CREATIVITY & INNOVATION QUIZ?
The MHEDA Journal - Third Quarter, 2017 - 71
The MHEDA Journal - Third Quarter, 2017 - 72
The MHEDA Journal - Third Quarter, 2017 - 73
The MHEDA Journal - Third Quarter, 2017 - GET CONNECTED, GET AHEAD
The MHEDA Journal - Third Quarter, 2017 - 75
The MHEDA Journal - Third Quarter, 2017 - 76
The MHEDA Journal - Third Quarter, 2017 - 77
The MHEDA Journal - Third Quarter, 2017 - 78
The MHEDA Journal - Third Quarter, 2017 - 79
The MHEDA Journal - Third Quarter, 2017 - MHEDA Convention 2017 Recap
The MHEDA Journal - Third Quarter, 2017 - 81
The MHEDA Journal - Third Quarter, 2017 - 82
The MHEDA Journal - Third Quarter, 2017 - 83
The MHEDA Journal - Third Quarter, 2017 - THE MASTER'S PROGRAM IN DEALER MANAGEMENT
The MHEDA Journal - Third Quarter, 2017 - 85
The MHEDA Journal - Third Quarter, 2017 - 86
The MHEDA Journal - Third Quarter, 2017 - 87
The MHEDA Journal - Third Quarter, 2017 - KEEP/SELL/GROW-BUSINESS ANALYSIS
The MHEDA Journal - Third Quarter, 2017 - 89
The MHEDA Journal - Third Quarter, 2017 - New Members
The MHEDA Journal - Third Quarter, 2017 - 91
The MHEDA Journal - Third Quarter, 2017 - 92
The MHEDA Journal - Third Quarter, 2017 - Spotlight on Association News
The MHEDA Journal - Third Quarter, 2017 - 94
The MHEDA Journal - Third Quarter, 2017 - 95
The MHEDA Journal - Third Quarter, 2017 - MHEDA Milestones
The MHEDA Journal - Third Quarter, 2017 - 97
The MHEDA Journal - Third Quarter, 2017 - 98
The MHEDA Journal - Third Quarter, 2017 - Index of Advertisers by Product Category
The MHEDA Journal - Third Quarter, 2017 - 100
The MHEDA Journal - Third Quarter, 2017 - Index of Advertisers Chronologically
The MHEDA Journal - Third Quarter, 2017 - The Last Word
The MHEDA Journal - Third Quarter, 2017 - cover3
The MHEDA Journal - Third Quarter, 2017 - cover4
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