What Is Your Business Really Worth? Business Succession & Exit Planning with Dean Lobrutto

What happens when you're ready to retire from your business—but you're not sure what it's actually worth? For many business owners, their company represents one of their largest assets. Yet, as Dean Lobrutto explains in this episode of The Finance Things in Life, surprisingly few owners have a professional understanding of the value of their business or have started planning for what comes next. In Episode 9, Matt and Anthony sit down with Dean Lobrutto of ValueCap, Inc. to talk about business valuation, succession planning, mergers and acquisitions, preparing a business for sale, due diligence, deal structure, taxes, key employees, and what it really takes to create transferable business value. Dean brings nearly two decades of experience helping business owners navigate buying, selling and transitioning businesses. And one of the biggest takeaways from the conversation? You shouldn't wait until you're ready to sell to start preparing your business for an exit. In this episode, we discuss: When a business owner should begin talking with an M&A advisor  Why business valuation should happen years before a potential sale  How M&A advisors work alongside CPAs, attorneys, bankers and financial planners  The difference between selling to a third party and an internal transition  What buyers look for during due diligence  Why financial records can make or break a deal  The difference between asset sales and stock sales  How deal structure can affect taxes  Why key employees can be critical to a successful transition  The risks associated with seller financing  Why selling isn't always the only option  How reducing an owner's involvement can potentially increase transferable value  Why business owners should know what their company is worth before they need to know  How taxes can affect what a business owner actually keeps from a sale  Why assembling the right professional team years in advance can make a major difference  About The Finance Things in Life The Finance Things in Life is brought to you by The Pitti Group Wealth Management, where we believe financial planning is about more than investments—it's about preparing for the transitions, opportunities and decisions that shape your life. If you're a business owner thinking about retirement, succession or the future of your company, this conversation is one you'll want to hear. Like, comment and subscribe for more conversations about the financial things that happen in real life. Disclosure: The information provided in this podcast is for educational and informational purposes only and should not be construed as individualized investment, financial, tax, legal, accounting, or business valuation advice. Dean and ValueCap Inc are not employees or affiliated with The Pitti Group Wealth Management, and the views expressed in the podcast are his own. Tax, legal, and transactional considerations vary based on individual circumstances. Listeners should consult with their own qualified tax, legal, accounting, and other professionals regarding specific circumstances. Any examples discussed are provided for illustrative purposes only, and no particular transaction or financial outcome is guaranteed.