Eric Gilboord is a lifelong entrepreneur, Author, Public Speaker and the CEO WarrenBDC, a company that  specializes in working with boomer aged business owners or those wishing to acquire their companies.

Eric is focused on solving a big problem. Sixty-five percent of all businesses in Canada and the United States are owned by baby boomers. Anyone born between 1946 and 1964. So this is a pretty big audience. Eighty percent of those owners do not have a plan in place or know how to transition. Most are counting on the sale of their company to fund their retirement, and in a lot of cases the value of the business is less that the owner needs for the desired retirement lifestyle.

In this episode Eric:

• Says Naysayers uninformed opinions are based upon their own life experiences
• Points out that the most important sale a business owner makes (the sale of the business) is the one they are worst prepared for
• Explains how he works with business owners to find unrealised potential
• States that the demand for businesses with predictable cash flow is strong
• Talks about some of the options business owners have when planning to exit
• Notes that after cashing out many entrepreneurs are choosing to buy another business rather than investing in financial markets

Interviewed by Tim Alison

Direct link to interview page: 
http://screwthenaysayers.com/ep-181-the-most-important-sale-any-business-owner-will-make-eric-gilboord/

Also listen to the interview with Eric here:
iTunes: https://apple.co/2LkWSPV
Screw the Naysayers Episode Page: https://screwthenaysayers.com/podcast
Google Play Music: https://bit.ly/2NBgqMv
Spotify: https://spoti.fi/2MF5T6g
Stitcher: https://bit.ly/2uYCsRC
Podbean: https://screwthenaysayers.podbean.com/e/181-Eric-Gilboord/

During the sales process there are two documents;

a) The Teaser - a short (1 page) doc, that gives highlights and is intended to solicit a prospect into asking for more information. This document is shared publicly so is written in a non-identifiable way.

Someone will then express interest and request more information. At that time they will enter into an NDA between our Client and themselves. Once that is signed we would share with them the CIM document.

b) The Confidential Information Memorandum (CIM) is a document into which we gather all the relevant information about the business, including its products, services, financials and markets.
The CIM is ONLY SHARED WITH Prospects that have signed the NDA, and that you have no other objection to sharing information with.

Typically the CIM would contain sections about the business to include;
1) Business Overview and Key Investment Highlights
2) Products and Services
3) Market Potentials and Variables
4) Sales & Marketing Efforts
5) Management Team BIOs
6) Financial Results and Projections
7) Risk Factors (Sometimes omitted) and Successes & Awards
8) Investment Thesis (why this is an attractive opportunity)
9) Anything else that might make this business unique and desirable.

The CIM is NOT a legally binding contract or offer for sale, rather it is a marketing document intended to make your business look attractive to potential investors.

An Investor or Buyer would use the CIM to determine whether they wanted to take the study further and to start compiling their valuation etc. They would likely start engaging and either meeting or asking more questions and from there make some sort of offer subject to diligence and legally acceptable terms to you. 

Included in the WarrenBDC fee is the necessary consultation and document preparation efforts to create these documents, and then to share and solicit this information with prospective buyers.

The final say in the document is ultimately our Clients to make, so at each stage once we have created the documents they are run by you for approval, before being distributed.

Cheers, Colin Ruskin
WarrenBDC

​Excerpt from 'Just Tell Me More - Marketing Tips in 10 Minute Chunks'

​Fanone International is a successful hairdressing salon owned by two brothers. For the past few years, they have talked about marketing. The brothers haven’t developed any specific marketing tools yet, but they meet regularly and plan to do some ‘‘real marketing’’ soon.

The fact that they have not yet created the standard marketing tools, such as brochures and ads, does not mean that they have not been developing and executing a marketing program. The Fanone brothers have been thinking about their business from a marketing perspective and have recognized that marketing is necessary to the success of their business. Their marketing is under way.

A few years ago, they moved the location of their salon and took full advantage of the opportunity to create a new and exciting environment for their customers. The new salon was so interesting they were featured in an industry magazine. They also participate regularly in hairdressing shows, as featured presenters, to increase recognition of their company name. They have reached a level in their profession that many competitors would do anything for. They have accepted offers from manufacturers to represent certain lines of products. And have their own line of products, sold worldwide.

The Fanone brothers were very specific about the type of employees they hired, seeking people with a good attitude toward the business and customers. The brothers want to make sure that they are building the best possible team in order to take full advantage of future, more traditional and new media marketing efforts.

A continuing discussion revolves around the demographical and psychological profile of the customers they want to attract. The atmosphere they have created in their salon is of utmost importance. 

The Fanone brothers regularly review the history of the salon and its past sales. Where did they make money and where did they give it back? What aspects of the business provide the most satisfaction? Are there cycles to the business with up and down times? Can they create promotional opportunities to smooth out the business over the year?

Are they taking advantage of the latest technologies? (Setting appointments on-line through the Internet is an interesting possibility.) Where do they want to take their salon in the future? What lessons can they learn from other salons (anywhere in the world) that are a few steps ahead of them? Can they identify and model themselves after a successful salon (or chain of salons) that is in a position in the marketplace that they want to be in?

The brothers continually review competitors’ literature to assess their position in the marketplace, promotional offers, target group identification, and product endorsements. These small business entrepreneurs want to know all they can about their immediate competition in their neighbourhood and around the world.

They participate in various hairdressing shows, making sure that they are featured onstage demonstrating the latest in hairdressing techniques in order to consistently reinforce their position as a leading edge hairdressing salon. Despite all of these activities, when they are asked whether they are conducting a marketing program, they answer that they are still preparing one.

These two hardworking, thinking entrepreneurs have recognized the importance of marketing and are determined to take full advantage of it. In fact, they are already marketing their business. Every day and through interactions with customers, suppliers, and staff, they are marketing their business because they are aware that every day and every interaction is another opportunity to fine tune their marketing efforts. When they decide to start a more traditional marketing program, they will be well prepared for it. Although these days who is to say what is traditional and what is new?

Many businesses have a best before date to transition.

​It may be best to sell before:

1. Your industry changes too much to keep up with.
2. You're too old to have a choice about transition anymore.
3. Your competitors decide to attack and drive your value down.
4. Your competitors make the move to sell first which can negatively affect your value.
5. You realize your kids have their own lives and are not taking over.
6. You finally see that your staff are never going to buy your business.
7. You are forced to accept the fact that it will take years to get ready, sell and fully transition out of the company and you haven't even started.

Or when the Owner has the realization that they don't actually have an open ended time frame to sell. Your trusted advisors have been asking you to think about selling. So has your spouse or partner. But you steadfastly held them off. Oops maybe they were right. Tic toc.

But like 80% of seasoned business owners, you've been putting it off. As you hit your 60's and 70's you slowly realize you've joined the 70% of owners who don't have a transition plan.

After having spent decades building a successful business, you've walked up to the edge of the cliff with no option to go back. It's a one way trip. You need to cross and time is running out quickly.

The likely outcome from waiting too long is that you may not be able to sell for as much as you could today or you have to sell for less than you need. If something unfortunate happens to you what have you done to your family and their future?

And yes I'm talking to you.

If you're confused, frustrated or just unsure about Moving Forward with selling your business, give me 15 minutes on the phone. I can me help bridge the gap and get you started along the transition path. No obligation other than a short conversation. You have everything to gain including a glimpse into the other side of the gap while learning about how to get there. And nothing to lose.

I really like meeting my readers. Eric Gilboord eric@warrenbdc.com