Author: exitoasis

Understanding Seller’s Discretionary Earnings (SDE)

Seller’s Discretionary Earnings (SDE) goes by other names: owner’s benefit, total owner benefit, seller’s discretionary income, etc. All these terms are designed to answer one question: What is the financial benefit of being the full time, owner operator of your business? When the costs of the business are met, what’s left over for you as the owner?

3 Reasons Why We Decided To Sell Our Business

“When you feel yourself become unwilling to make what you know are the right decisions for the growth of your business based on personal or emotional reasons, take it as a sign that it may be time to get out.” We love the real life stories of those who have built and sold businesses. Barbara Taylor tells a simple, and compelling, story of her journey. See original article here.

Dead Capital in a Business (and Buying a Job)

Great story here from David Barnett. Things get very real at around the 5 minute mark from our perspective. Talk to any business broker and they can tell you stories about business owners who believe in an inflated value of their business. It’s easy to understand why the owner in this story thinks his business should be worth more, but equally easy to understand why a buyer would never pay it.