Today’s Show Recap
Thanks for listening to Makin’ It. On this week’s episode, on Show Buzz, the Tommy, Todd and Brittany take a look at “Nathan for You.” Also this week, Tommy and Todd interview Emmet Apolinario of Sunbelt Business Brokers and get tips for buying and selling businesses. Finally, on Makin’ It or Breakin’ it, the gangs asks the question: Is the next version of the dot.com disaster coming and in what industry will it be? Let us know what you think of the show in the comments section at the bottom of the page!
It’s time to think outside the box and start the show!
Tommy, Todd and Brittany start the show with Show Buzz, and this week they take a look at Comedy Central’s docu-reality comedy “Nathan for You.” The show features business graduate and consultant Nathan Fielder and, in satirical way, he tries to help ailing businesses by providing them with over-the-top, if not absurd, out-of-the-box solutions to their business dilemmas. Examples of his solutions include creating a poop-flavored yogurt to draw in customers, layaway liquor plans for minors, and an electronics company competing with Best Buy’s price match guarantee by selling his televisions for a dollar.
While the show is comical in its approach, it does contain some lessons about how good ideas in business can be born by taking ideas to the extreme. In fact, many great inventions were initially laughed at. But the show asks a very important business question: How far are you willing to go to make your business work? Entertainers such as Madonna and Lady Gaga are masters at this question, always keeping themselves in the public eye and drawing attention. Additionally, Fielder’s eccentric look at business reminds people to look in unusual places to outthink your problems. What do you think of Fielder’s approach to business? How far are you willing to go to help your business? Let us know in the comments section.
Next up, Tommy and Todd interview Emmet Apolinario of Sunbelt Business Brokers. Apolinario, winner of the Small Business Leader of the Year award by the Small Business association, is an expert in buying and selling businesses today. Apolinario is an exit planning advisor, a business broker and an accomplished pianist.
Apolinario believes that right now is the perfect time for buying a small business as many baby boomers are looking to retire and sell their lucrative businesses to younger entrepreneurs who have gotten a taste of success from corporate America. And, right now banks are loosening up a bit and letting money flow so entrepreneurs can take out business loans. Moreover, profitable businesses are the ones that banks would want to finance.
So what should people who are buying or selling their businesses be most aware of? Apolinario states having all the recordkeeping in order is the most important factor. Factors such as knowing all the business’s numbers, whether the business’s employees have non-compete clauses or whether the customers are loyal to the business or the owner are vital in selling or buying a business. The majority of small businesses have roughly $500,000 in sales, but rarely make more than $1 million. And, a typical transaction size garners $125,000 as income for the owner.
According to Apolinario, an entrepreneur should question whether he truly needs an evaluation if his profits are coming in the way he likes. However, a business evaluation isn’t like a real estate assessment because they typically only last for six months and have many contributing factors. Moreover, a business is typically only worth what someone is willing to pay for it. Conversely, having an evaluation helps a business person know what his company is worth to assist in getting him bank loans and shows that a person has more than his home as an asset. Finally, a business owner should look to obtain an evaluation if he is grossing more than $100,000 a year and looking to sell.
Apolinario says the businesses that are selling the fastest right now go from manufacturing, to service businesses, to retail. Restaurant business sales are also on the rise. Technology companies have and remain in their own arena and are compared separately.
So, what should an entrepreneur do if he wants to purchase a business? Apolinario says entrepreneurs should research companies for purchase using the internet and by using the brokers’ associations available by state. Additionally, Apolinario adds that an entrepreneur should gain the help of advisors including lawyers, accountants and mentors. Mentors can be found free of charge by contacting SCORE, which is funded by the government. SCORE is filled with retired executives and investors who donate their time to help other entrepreneurs buy their businesses. Have you ever purchased or sold a small business? What was involved in the sale? What do you think of Apolinario’s advice? Let us know in the comments section. For more information and how to contact Apolinario, click the link below.
Makin’ It or Breakin’ It:
Finally, Tommy, Todd and Brittany end the show with the Makin’ It or Breakin’ It segment. This week they ask the question: Is the next version of the dot.com disaster coming and in what industry will it be?
In the second half of the 1990s, the economy was infusing cash into the marketplace. IPOs exploded because of the dot.com craze, and many companies were over-evaluated, sometimes based solely on an idea on a piece of paper. This led to the dot.com bubble bursting around 2000, when investors stopped investing because they weren’t seeing returns.
Smart phones led to a rise in companies developing apps. However, there really isn’t any movement with smart phones at present. VR machines are on the rise and will likely be the next big thing. However, there are less deals overall in this arena. Does that mean the bubble is about to burst? Not necessarily. For example, Uber is work $69 billion, and Snapchat’s evaluation is on the rise. But those are unicorn type companies on the market right now, and most of the companies are having slow returns on investment. Moreover, if these companies don’t start to become huge, that’s when you have capital that doesn’t pan out and the potential for lost investors occurs. Regardless, technological needs don’t seem to be going anywhere anytime soon. What do you think of app investments right now? Do you think they are the next bubble to burst? Let us know in the comments section.
Thanks for tuning in to Makin’ It. Let us know what you think of the show and if you have questions about your business, send us an email at firstname.lastname@example.org or leave us a comment below. We love to hear from our listeners and we read comments on the air. We just might choose yours for next week’s show (so don’t forget to tune in!).
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Additional Resources for Entrepreneurs:
For more information on or to contact Emmet Apolinario, click here.
For more information on “Nathan for You,” click here.
Be sure to tune in every week to the Makin’ It Radio Show on your local station or listen to past shows anytime on iHeart Radio, TuneIn or the Makin’ It Now Archives section on our website at www.makinitnow.com.