Real Estate

Domen Zavrl has two PhDs, one in applied macroeconomics and a second in system dynamics. Mr Zavrl has experience of a range of industries, including securities lending, commodities trading, natural resources, business brokerage and real estate development.

This article will explore the impact of AI on the real estate industry and how technological advancements are transforming the way people buy and sell properties.

AI is disrupting numerous industries today, and real estate is no exception. Technological innovations have unlocked a new era of real estate market transformation, with AI’s unparalleled capabilities redefining how people buy, sell and invest in real estate and catalysing a paradigm shift in property ownership and rental living ecosystems.

Experts anticipate that real estate industrywide reliance on AI solutions will only increase in the coming years, with intelligent systems making property management more economical, efficient, personalised and customer centric. AI is dramatically transforming the industry by automating processes, increasing productivity, enhancing customer experiences and providing actionable insights to improve decision-making and reshape interactions.

A study from Precedence Research suggests that generative AI is creating substantial opportunities for the real estate industry, with the market tipped to grow at a CAGR of 11.52% – increasing by more than $1 billion by 2032. This growth is fuelled by a number of factors, including increased demand for automation to boost operational efficiency, advancements in AI technology that enhance valuation and property management processes, and increased prioritisation of data analytics to inform real estate decisions. In addition, the potential of AI to personalise and thereby enhance customer experiences is further accelerating its adoption.

Although the primary function of estate agents is to sell brick-and-mortar buildings this does not mean that the role has remained untouched by technological advancements and innovation. The rise of the internet, digitisation and recent trends like virtual reality and drone photography have all had a huge impact on the industry. Nevertheless, experts predict that even bigger disruptors could lie on the horizon as agents, investors, mortgage brokers and appraisers race to benefit from the colossal opportunities presented by generative AI.

A recent McKinsey report highlights the need for professionals to learn to augment their abilities with new generative tools and embrace new working practices to stay ahead of the curve. The report suggests that AI could generate circa $180 billion in value for the global real estate industry. Posing the potential to transform many routine tasks performed by real estate professionals on a daily basis, generative AI can swiftly and effortlessly generate property descriptions and – by utilising floorplans, photographs and videos captured by drones – translate images and data into written information. Generative AI can even personalise these descriptions, tailoring them to each individual client to make search results more appealing.

In various industries today, chatbots are playing a game-changing role in customer service, lifting the burden from human staff by providing information and answering basic questions. In the realm of real estate, chatbots are frequently used to schedule tours and viewings. AI can seamlessly automate mundane, time-consuming tasks, with custom AI applications increasingly being utilised to generate templates and drafts in seconds.

The rise of VR and AR have paved the way for virtual property tours, enabling potential investors to gain a realistic view of a property without the need for a visit in person. Today’s forward-looking estate agents offer virtual tours to enable buyers to get a true sense of how living and working spaces look and feel, a capability that is particularly valuable for home hunters searching for overseas investment options or properties that are still in construction.

In addition, virtual staging enables buyers to see how their furniture would look in their new residence, helping prospective buyers to see themselves living there without requiring actual staging. Virtual staging not only reduces expenses but also speeds up decision-making, paving the way for a smoother transaction.

GMF Group acquired Peace River Estates in Punta Gorda, Florida, on March 23, 2023, for a recorded price of $1,230,000. Located at 5400 Riverside Drive, Punta Gorda, FL 33982, the manufactured housing community includes 125 lots and units. With ample amenities and a prime riverfront location, Peace River Estates offers the best of outdoor living in Southwest Florida.

Peace River Estates is a welcoming haven for residents looking for a friendly, vibrant community with easy access to nature. The community is situated right on the Peace River, a paradise for boaters and anglers. With boat slips on site, it only takes moments for residents to be out on the water. Meanwhile, amenities like a clubhouse and shuffleboard court provide a place to gather and connect with neighbors.

Fishing and boating are favorite pastimes in beautiful Punta Gorda, located where the tranquil Peace River flows into Charlotte Harbor, an arm of the Gulf of Mexico and the second-largest harbor in Florida. Snook, trout, tarpon, and other gamefish are plentiful in this thriving estuary. Nature lovers can visit parks like Charlotte Harbor Preserve State Park, perfect for kayaking, canoeing, fishing, and birdwatching. Several trails wind through pristine salt and freshwater marshes, mangrove forests, and shady oak and pine woods. Less than an hour away, the beaches of Manasota Key beckon with white sand and warm, aquamarine Gulf waters.

Within Punta Gorda are a variety of arts, cultural, and historic attractions. Visitors can take a stroll along the Harborwalk, a 2.5-mile scenic pathway that offers picturesque views of the Peace River and multiple shops, restaurants, and parks along the way. The town is also known for its vibrant arts scene, with the Visual Arts Center and local galleries showcasing the work of regional artists. History buffs will appreciate the Military Heritage Museum and the historic downtown area with its restored buildings, locally owned shops and restaurants, brewery, and street festivals. Alternatively, head to Fishermen’s Village on the waterfront for shopping, dining, and views of the Gulf Coast. With so much to see and do, it’s impossible to get bored in Punta Gorda.

About GMF Group

GMF Group is a vertically-integrated real estate investment firm headquartered in Palm Beach, Florida. Founded by Gabe Monfried and Matt Forssman, GMF takes an opportunistic approach to identifying and capitalizing on opportunities within undercapitalized asset classes, with a strategic emphasis on manufactured housing communities (MHCs). As a top 50 U.S. owner-operator of MHCs, GMF is invested in and manages thousands of lots and units across a growing portfolio. The firm combines institutional expertise with a dynamic, agile approach to align with the interests of investors, employees, and the communities in which it invests to deliver value-driven outcomes. For more information, please visit gmfgroup.com.

Gabe Monfried is a Co-Founder and Managing Partner of GMF Group overseeing all of the firm’s investments, strategic initiatives, and fundraising. Gabe has completed more than $5 billion in real estate and capital markets transactions throughout his career. Prior to GMF Group, Gabe was Vice President, Principal Investing at Macquarie Capital where he led complex real estate equity and structured finance investments throughout North America across conventional and niche real estate asset classes. Gabe’s earlier career includes serving as Associate Vice President, Investments at CIM Group, a global real estate and infrastructure private equity firm with $35 billion in assets under management, where he focused on hospitality, multifamily, office, and renewable energy investments, financings, and developments. Gabe began his career as an investment banking analyst at Goldman Sachs. Gabe earned a BBA in Finance, Investment & Banking with honors from the University of Wisconsin – Madison.

Matt Forssman is a Co-Founder and Managing Partner of GMF Group overseeing all of the firm’s investments, strategic initiatives, and fundraising. Matt has completed more than $5 billion in real estate and capital markets transactions throughout his career. Prior to GMF Group, Matt was responsible for real estate acquisitions and asset management at BentallGreenOak. While at BentallGreenOak, Matt was involved with the acquisition and asset management of more than $1 billion of multifamily and office real estate investments. Matt’s earlier career includes serving as Associate, Investments at CIM Group, a global real estate and infrastructure private equity firm with $35 billion in assets under management, where he focused on real estate investments, financings, and developments. Matt began his career as an investment banking analyst at Bank of America Merrill Lynch. Matt earned a BA in Economics, cum laude, from Harvard College and is an active member of the Milken Institute’s Young Leaders Circle.

How Construction Site Accident Attorneys Help Their Clients

Construction sites are inherently dangerous places where various hazardous activities take place. Despite the implementation of strict safety regulations and protocols, accidents unfortunately still occur, posing serious risks to workers’ well-being and even their lives.

Having a knowledgeable and experienced construction site accident attorney by your side can make a significant difference in such unfortunate events.

A construction site accident attorney specializes in helping clients navigate the complex legal landscape surrounding construction accidents. They provide valuable guidance, protect their client’s rights, and diligently fight for the compensation they rightfully deserve, ensuring that justice is served.

Understanding the Role of a How Construction Site Accident Attorneys Help Their Clients

What Does an Accident Attorney Do?

An accident attorney specializing in construction site injuries has a deep understanding of the laws and regulations surrounding these types of cases. They use this knowledge to represent their clients who have suffered injuries from construction site accidents.

The attorney’s role includes investigating the accident, gathering evidence, negotiating with insurance companies, and, if necessary, representing the client in court. They work tirelessly to ensure their clients receive the maximum compensation for their injuries.

The Importance of Expertise

Not all attorneys are the same. Those who specialize in construction site accidents have a unique set of skills and knowledge. They understand the specific safety regulations and standards that apply to construction sites. This expertise is crucial in building a strong case and proving negligence by the construction company or other parties involved.

How Attorneys Assist in the Aftermath of a Construction Site Accident

Investigation and Evidence Gathering

One of the first things an attorney will do after being hired is to conduct a thorough investigation of the accident. They will visit the site, interview witnesses, review safety records and procedures, and gather any other evidence that might be relevant. This process is essential to establish the facts of the case and identify any potential negligence.

Dealing with Insurance Companies

Dealing with insurance companies can be a complex and frustrating process. An experienced construction site accident attorney knows how to navigate this process effectively. They can negotiate with the insurance company on their client’s behalf, ensuring they receive the full benefits they are entitled to.

Legal Representation

If a fair settlement cannot be reached through negotiations, the case may go to court. In this situation, the attorney will represent their client, presenting the case and arguing. They will use their expertise, and the evidence gathered to fight for the best possible outcome for their client.

The Impact of a Construction Site Accident Attorney

The help of a construction site accident attorney can make a significant difference in the outcome of a case. They can ensure their clients receive the compensation they deserve for medical bills, lost wages, pain and suffering, and other damages. Without their help, victims might not receive the total compensation they remain entitled to, adding financial stress to an already difficult situation.

How Construction Site Accident Attorneys Help Their Clients – In Conclusion

Dealing with the aftermath of a construction site accident can be overwhelming. But with the help of an experienced attorney, victims can navigate this process more efficiently and focus on their recovery. If you or a loved one has remain injured in a construction site accident. Consider seeking the help of a specialized construction site accident attorney. Their expertise and dedication can make all the difference.

Fixed-Rate vs. Variable-Rate Mortgages – Purchasing a new home can be a significant decision to make. Unless you have enough cash to cover the selling price, you probably consider getting a mortgage as a financial solution. It refers to a home loan used by homebuyers to obtain the funds needed to finance a property purchase. However, taking out a mortgage might cost you considerable money in interest and other fees. This is one reason why choosing the right mortgage product is essential to help you save money in the long run.

So, when looking for one, you can choose from a wide selection of mortgage products. If you don’t know which type of mortgage you should take out, you can hire brokers to help you find the perfect choice. For more information about these professionals, you can check out certifiedmortgagebroker.com or read some resource websites.

On the other hand, if you still want to know which type of loan to apply for, keep reading this article to learn more about fixed-rate and variable-rate mortgages.

What’s A Fixed-Rate Mortgage?

Fixed rate mortgage frm written on a piece of paper.

A fixed-rate refers to a type of mortgage wherein the interest rate is fixed throughout the entire loan term. For example, if your mortgage has an interest rate of 2% and a loan term of five years, then you have to pay your loan with the same 2% for the whole five-year period. This means your monthly repayments will stay the same, regardless of the market conditions and other circumstances.

In most cases, a fixed-rate mortgage is a much better option if the interest rates are initially low but will increase over time. If this happens, then you might as well lock in your mortgage at a fixed rate.

On the other hand, if you want to know whether fixed-rate is the right financial solution for your needs, you need to get familiar with its advantages and disadvantages. Generally, a fixed-rate loan comes with the following benefits:

• As a borrower, you’re aware of the amount to pay for the loan. Consequently, you’ll be able to set aside enough money to cover the monthly repayments.
• You can pick the payment term you want without worrying about any rising interest rates.
• You can protect yourself from an unexpected increase in your mortgage payment. This is especially true if you have a limited budget.

Aside from the advantages, getting a fixed-rate mortgage also comes with some downsides. These can include:

• You may have to pay additional fees when you decide to modify your loan terms or settle it ahead of the agreed schedule.
• A fixed-rate loan is usually more expensive to pay for a long-term duration.
• A fixed-rate loan doesn’t change even during the period when interest rates decrease.

What’s A Variable-Rate Mortgage?

A variable-rate mortgage refers to a type of mortgage wherein the interest rate differs depending on the market rates. In most cases, a variable-rate mortgage can be set up in two ways.

• First, when the interest rate fluctuates, the portion of the monthly repayment intended for the interest may fluctuate, but the overall payment stays the same. For example, when the interest decreases, less of your monthly repayment will go to the interest and more of it will be applied to your principal loan.

The other way a variable-rate mortgage would make a lot of sense is that when the market interest rates change, the mortgage amount also changes. For instance, your overall repayment also goes down when the interest rates decline. When the rates go up, your monthly obligation also increases.

However, if you want to understand better how a variable-rate mortgage may help you, it’s best to tackle the pros and cons before deciding. Some common advantages of taking out a variable-rate loan include:

• The monthly repayment can decrease when the market rates also go down, making the mortgage Processing more affordable and easier to pay off.
• The interest rate is much lower compared to a fixed loan.
• You may enjoy better loan perks, especially at the start of the loan period, due to changing rates.

On the other hand, despite the advantages, applying for a variable-rate mortgage also has disadvantages. These can include:

• The monthly repayment can rise when the market rates increase, making the overall mortgage more expensive.
• You may not properly plan for your loan repayment budget due to the changing interest rates.

Final Thoughts – Fixed-Rate vs. Variable-Rate Mortgages

Buying a home doesn’t need to be financially draining. With the appropriate type of mortgage, you can have enough funds to get the property you’ve dreamt of. However, choosing between a fixed-rate and variable-rate mortgage can be pretty confusing. To ensure you find the financing solution that suits your needs, there are many things to consider. These can include your long-term financial plans, risk tolerance level, and budget flexibility.

But to help you get familiar with how fixed-rate and variable-rate mortgages work and which one may benefit your situation, it’s best to keep the information mentioned above in mind. That way, you’ll have an idea of which loan should be taken out for your home purchase.

Reasons Why Real Estate Is a Good Investment

Let’s be honest, 2020 was a hell of a year. Full of restrictions and instability, it affected everyone and everything. The real estate market wasn’t an exception.

Due to the grand drop of the real estate market by 30% in the United States alone, the big crisis has begun. During the whole 2020, the supply of such property was greater than the demand for it. You may say that this is some American trend, and you will be wrong. A significant drop in the real estate market happened all over the world.

UAE is considered to be one of the top 10 best countries to invest in. Why? Thanks to the foreign-friendly policy of this country, investors can freely come, leave their money, and be sure that the profit will come in time. Now, in 2021, it is the best time to invest your money in property in this sunny country. Today we present to you three main reasons why investing in real estate is a great idea in 2021.

● Low-Interest Rates

Buying premium real estate was never cheaper than now in the whole modern history of Dubai. Due to the crisis, the price of real estate has decreased significantly. Such an issue made property sellers more flexible and ready to sell their properties for lower prices.

Local banks have also become more flexible, decreasing the mortgage interest rate to the record 2.7%. Financial experts believe that in the next couple of years, the UAE’s real estate market will recover enough to increase interest rates up to their pre-pandemic level. It is a perfect opportunity for you to buy the property you desire before it returns to its previous price and interest rate levels.

● Return on Resilience

2020’s quarantine showed that any work can be done from home, and there is no need to live in a city. According to statistics, in December 2020, the rental and purchase of countryside villas were twice higher than the purchase and rental of an apartment.

Still, the city is an important part of any country. Dubai may be considered the heart of UAE. All the public life is here. A bright example is Dubai Expo, which will take place at the end of 2021. Lots of tourists are expected to arrive there. This event is a chance for Dubai to return to its previous, pre-COVID, stable way of life.

Such a return on resilience will strongly affect the price of real estate in Dubai in the next few months. That is why we highly recommend you not to lose time, and start looking into the premium real estate in Dubai now.

● Diversity

When you decide to buy a property in Dubai, take a minute to think about what kind of property you will buy. Dubai, being a real beacon for inventors, can propose any kind of real estate your heart desires.

Dubai’s market is full of property ready for sale right now. Want to buy an apartment? Choose the desired location and the size of the area such as apartments for rent in inglewood ca. What about some unusually styled villa? No problem – the local market is full of such propositions.

You must remember that some restrictions exist if you are not UAE’s citizen. These restrictions are such:

• The residential visa requirements. The UAE’s law on citizenship is strict. According to it, no foreign can get full citizenship there. However, you can get a visa as an investor in the UAE’s property. Based on how much you invest, different types of visa are available for you.
• You can get a three-year (AED 1 million and more invested) or five-year (AED 5 million and more invested) renewable visa. Also, if you are over 55 years of age and invested AED 2 million or more, you can also get a renewable visa for five years;
• The location you can buy property in. Some of the districts of the city are close for foreign investors. Make sure to check what kind of districts are available for you.
• The ownership. In UAE, there are two common types of ownership – freehold and leasehold. If you get freehold ownership, you do not need to worry much. Your property is your property. Leasehold is an absolutely different issue. The first significant difference is the fact that, technically, the property is not yours. You can use it for up to 99 years. After that, it returns to the previous owner. Quite tricky, isn’t it?

Properties

Buying premium real estate in a foreign country is not only about its beauty and comfort it provides, but also about the law. You need to make sure that the purchase is completed legally to avoid further problems, don’t you? That is why, while searching for your ideal property, make sure to check Metropolitan Premium Properties.

It is an international real estate company in Dubai, ready to offer you any help required at any time. Having offices not only in Dubai, but in Abu Dhabi, Vienne, and other cities around the globe. With Metropolitan Premium Properties you can always be sure that your best interests are taken into account by the experts.

Also, Metropolitan Premium Properties will take care of the fees you will need to pay, such as:

• 2% brokerage fee to the real estate agent;
• 4% transfer fee;
• Approximately AED 4,000 fee (registration of property);
• Approximately AED 500 fee (issuance of the title deed);
• Mortgage registration fees (if applicable – the fee is 0.25% of the loan value).

Conclusion

Summing up everything mentioned before, there is no better time to invest in Dubai’s real estate than in 2021. Low-interest rates, return to the previous stable active life, an increase in the number of tourists, the supply of property available for purchase – all of these factors play an important role in the real estate market’s life.

The Roman writer Publilius Syrus once said “A good opportunity is seldom presented, and is lost easily”. Even centuries after his death, these words stay true. Experts say that there will never be such a situation again. Never again will the real estate market experience such stagnation and sell the property so cheap.

That is why you shouldn’t lose your chance to become a lucky owner of sunny Dubai’s property. Contact a real estate agency now – start your own journey in UAE’s real estate market.

Mitigate Risks in Real Estate Investing

Mitigate Risks in Real Estate – Generally speaking, real estate investing can be one of the best ways to make more money and build wealth. With the increasing demand for properties, buying and owning them can be considered a safe investment nowadays. However, just like other forms of investments, purchasing infrastructures comes with some risks that investors like you should watch out for so that you can get the most out of the returns.

If you’re a real estate investor, below are the six ways to mitigate the risks in real estate investing:

1. Use Real Estate Crowdfunding

Mortgage loading real estate property with loan money bank concept.

Whether you believe it or not, you can actually invest in real estate without physically owning properties. This can be done through the process of crowdfunding. It refers to the process of obtaining a pool of real estate investors to generate capital for a real estate project. What’s good about this method is that you can minimize the risks by investing a small amount of money into the equity of a project.

Unlike owning and managing investment properties by yourself, using real estate crowdfunding can help you mitigate the risks while earning passive income. So, to get started with this method, be sure to find the best real estate crowdfunding sites that can help you with your investments without risking a lot of money.

2. Pay Attention to Multifamily Rentals

Money bag, blocks with the word Risk and a wooden house on the scales. The concept of losing money when investing in real estate. Risks of losing a home or housing for non-payment. Property insurance

In most cases, investing in multifamily properties for rentals can be one of the effective ways of reducing the risks associated with real estate investments. When you buy single-family properties, you may not be receiving money for rent when nobody is renting the unit. But, with multifamily properties such as a four-plex, you may still get some rentals even if one unit is empty.

In such a case, you can still ensure cash flow for your real estate investment, even if it’ll take months before you can find the next tenants. As a result, you can mitigate the risks of losing your money in the long run.

3. Be Sure to Calculate Your Potential Income and Expenses

One of the common risks in real estate investing is dealing with negative cash flow. This means your expenses, including mortgage payments and taxes, are higher than what you earn from your investment properties.

To reduce this risk, it can be a good idea to accurately compute your potential income and expenses before purchasing a property. Be sure to account for all the estimated expenses and, more importantly, check whether the location of the rental property can yield positive cash flow. By doing all these things, you can rest knowing that your investment is safe from the risk of negative cash flow.

4. Perform Tenant Screening to Avoid Bad Tenants

In some cases, the risk associated with real estate investing isn’t always about the issue of profitability. There are instances wherein the problem is caused by the bad tenants. Instead of keeping positive cash flow for your investment properties, you end up spending more money due to the problems and damages caused by the bad tenants.

Therefore, to mitigate this risk, conducting a thorough tenant screening before allowing them to rent your property can be an excellent option. With this screening method, you can have an opportunity to check the background of the tenants and make sure they’ll follow all the terms and conditions stipulated in the lease agreement.

5. Evaluate The State of the Investment Property – Mitigate Risks in Real Estate

When it comes to real estate investing, there are times you may have brought an investment property with some hidden structural problems. Unfortunately, dealing with some problems can cost you more money in the long run due to the expensive repair and maintenance costs that you need to pay. When this happens, you may be unable to get high returns on your real estate investment.

To reduce this risk, it’s best if you evaluate the state of the investment property and obtain a home appraisal before investing. Make sure to work with professionals who know exactly how to spot hidden structural problems that need to be fixed as soon as possible. That way, you can get the most out of an investment property’s returns by avoiding hefty maintenance and repair expenses.

6. Utilize The Buy and Hold Strategy

If you’re looking for a way to minimize the risks associated with real estate investing, then you may consider using the buy and hold strategy. It refers to a method of buying a property and planning to hold it for a long time. It’s less risky than buying and selling properties since you’re not dependent on the market trends.

Also, the good thing about using this strategy is that you can wait for the investment property to appreciate while continuously receiving a healthy ROI (return on investment). Doing so can help protect yourself from the risks that come with investing in real estate.

The Bottom Line – Mitigate Risks in Real Estate

Indeed, there are many reasons that real estate is a good investment right now. For instance, it can be your chance to earn a lot of money and improve your financial health. But, due to its nature, there are many risks that you need to be aware of, so you can protect your investment from losses.

Luckily, by following these ways, you can mitigate any risks that may come your way. Remember, the better you protect yourself from the risks, the more you can improve the odds of obtaining long-term returns.

Sanctuary Lakes is a very unique part of the western suburbs of Melbourne, within the general area of Point Cook. The entire area has been transformed dramatically from the salt works, open spaces and farmland it was in 1997. Let’s take a look at its history.

Sanctuary Lakes Real Estate – Then

Sanctuary Lakes was the very first part of Point Cook to be developed, nearly 30 years ago in 1997. Back then, Sanctuary Lakes was home to a salt harvesting operation near the mouth of Skeleton Creek, run by Cheetham Salt, and was also an important area of wetland habitat for birds. Point Cook was farmland.

Salt harvesting ceased in the early 1990’s and made way for the development of the Sanctuary Lakes housing estate, the centrepiece of which was to be an 18 hole golf course designed by famous Australian golfer, Greg Norman.

Sanctuary Lakes Real Estate Development Commences

In 1997, Established Property, managed and commenced the very first development in the Point Cook area, of the Sanctuary Lakes resort.

Approximately 2,500 housing lots were to be sold for houses and the area was to feature the golf course, a large man-made lake, and more than 120 hectares of parkland. This complemented the nearby natural bayside features and coastal environment of Port Phillip Bay.

Housing lots continued to be sold in the early 2000’s and in the 2010’s.

Sanctuary Lakes Real Estate – Now

Today, Sanctuary Lakes real estate is considered to be a luxury part of Point Cook, with homes reaching prices of approximately $1.2 million. Being a gated community with no further land available for sale, and known for its golf course, recreation club that can only be used by residents, 60 hectare lake, swimming pool, managed gardens, dining venue, nearby Cheetham Wetlands and nearby shopping centre, Sanctuary Lakes real estate prices are expected to continue to rise.

Want to Buy Sanctuary Lakes Real Estate?

The very first real estate agent that transformed the salt works to Sanctuary Lakes, Established Property, is still operating today and is one of the most highly regarded real estate agents in the area. They have an intimate knowledge of Sanctuary Lakes real estate and can guide you on buying in the area, either for your own home or if you wish to make an investment for your future nest egg.

Contact Established Property to discuss your needs.

Whether you’ve built your business from the ground up or acquired it once it was established, positioning it for resale can be a tall task. You’ll need to consider numerous factors to ensure that you not only get a fair price for your company but that the transition goes as smoothly as possible. 

Being completely transparent with financial advisors, potential buyers, and brokers will help you ensure a smooth transaction. This convenient checklist can help you update your records and valuations in preparation for a sale. 

1. Collect Corporate Documents

In Texas, all businesses should be registered with the Texas Secretary of State. Whether you have a corporation, a limited liability company, or another business classification, you’ll want copies of the organization documents that prove your company is valid and existing in the state. In addition, make sure your company’s bylaws, operating agreements, and stock or membership certificates are available for potential buyers to review. The same goes for updated resolutions and minutes—everything should be recent and ready for client inspection. 

2. Financial Documents

Your company’s financial documents are important for brokers and potential buyers. Financial documents dating back three to five years are usually necessary when selling a company. Tax returns, financial statements, profit and loss statements, and any loan agreements should be available for review.

3. Business Valuation

Determining the value of your business is vital but can be a bit complex. You can calculate a business’s value in numerous ways. Some depend on how the business is expected to perform in the future. 

It’s wise to work with a qualified broker to determine the best way to evaluate your business and structure a sales price that reflects your business’s current value and earning potential. For help, www.ibexbeyond.com is a great resource. 

4. Know Your Risks

Any business comes with risks, and knowing your business’s risks and how to mitigate them can be a valuable selling factor for your potential buyers. Risks can include:

• Employee retention
• Supply chain issues
• Nexus issues
• Disruptions from technology-based products
• Changes in regulatory laws

Addressing a potential buyer’s questions about these issues will help support your business’s reliability. 

5. Be Realistic About Growth Potential

Your business has growth potential, so there’s no need to exaggerate. Come to the table with factual data that is research-packed and data-driven. Explain the history of your business’s growth, and how growth will continue in the future. It is better to under-promise and over-deliver your business’s market potential.

6. Tell Your Story

Every business has a start-up story, even if you inherited or purchased it from someone else. Potential investors and buyers should be privy to this story to understand the company’s culture, values, and purpose. Potential buyers can be more likely to invest in a business if the background story resonates with them, so include as many details as possible.

7. Make The Transition Easy

Hiring a qualified M&A broker is the best way to ensure a smooth transaction when selling your business. A broker will handle the transactional documents, sale agreements, and financial transfers to ensure the sale is legal and valid. As a business owner, you’ll be able to continue focusing on your business, keeping operations running smoothly while the broker handles the transactional heavy lifting. 

While the transaction is in progress, work toward a smooth transfer of your power to the new owner. Ensure that your employees and subcontractors understand your role and the role of the new owner. This provides a better and more stable transfer of your business and protects company culture and atmosphere. 

8. Be Available

As the primary contact for the sale of your business, it will be important to make yourself available to talk to brokers, financial advisors, potential buyers, shareholders, investors, and employees. There will be many people with questions, and having answers at the ready will help everyone involved feel more secure during the transitional period. 

Don’t Go It Alone

Selling a business is a major transaction. Attempting to handle it on your own can be overwhelming and result in errors, legal issues, and the disruption of your business. Hiring a qualified brokerage team helps ensure the sale of your business is seamless, and you receive a fair market value.

Sources:

the Texas Secretary of State|SOS.State.tx.us 

How To Position Your Company To Sell For An Above-Market Price|Forbes.com 

Selling Your Business: Positioning a Company for Sale | The Hartford