The association management business is truly a special breed. Few businesses have such a specific service that defines a unique industry profile.
Unless one really knows about property management, community association governance, who the “good employees” are, the special laws that govern real estate, and how to handle “all those people”, they have no business investing in or buying a management company.
That leaves one market to sell in: The already operating management firm looking to expand through acquisition.
The problem is this. Few property and association management companies prepare their business for an eventual sale. And that’s OK because most owners are not experienced at evaluating an offer, determining the right course of action and protecting their value through a lengthy and somewhat risky process. The actual conclusion of completing the sale usually leaves the seller at a disadvantage or worried that the unsecured carry back note will not be fully honored.
Here’s the good news. There is a proven procedure in selling a management company that protects the owner 100%. It includes pricing the company right, finding a capable and sincere buyer and getting the exact result that you expect when the deal is done.
WCG has perfected this procedure and can demonstrate how it can work for you.
A Proven Way to Establish Value for a Sale, Merger or New Ownership of an HOA
Management Business
There is a narrow marketplace for selling HOA management businesses. Seldom is a business sold outside the industry. The problem is to identify the best buyer for a specific business while concealing that the business is for sale.
Evaluation Validation System (EVS) is the process in which a business is completely analyzed and validated to determine the worth of a business in the merger and acquisition marketplace. EVS will establish for ownership the practical value and the market value of any HOA management business. When the process is complete, the ownership will understand the true cash flow, the actual profit line of each business component, value erosion, profit gaps, system options, growth potential, inside markets, profit centers, outside markets and value objectives. When EVS is completed, ownership will be able to identify value enhancers, the maximum sale point, value added feature potential and a risk free offering process. In the end, the seller and buyer each get exactly what was expected from the exchange.
WCG, Inc. promises EVS will provide complete satisfaction whether ownership elects to sell or retain for growth. To learn more about EVS and how it can improve the value of your business click here.
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