GLM can provide an Opinion of Value of your business. This is based on information provided in your last three years Financial Statement, we can then estimate the Value of Your business.

There are a number of different methods that can be used to place an estimated value on a business. Different methods can yield different results. In fact, even the same method can yield varied results because different appraisers will make different assumptions.

In valuing Your business, our GLM’s Valuation used a modified version of the classic excess earnings method of valuation. We know from experience that this method offers a good estimate of value for small businesses.
In its simplest form, the method for excess earnings method of valuation makes use of the following items:

• Fair market value of the assets owned by the business less any debts owed by the business
• REAL income being earned by the owner(s) of the business (including items such as excess salary, profit, dividends, and business paid expenses that are not essential to business operations). 
• An earnings multiplier- The methods used for calculating the real owner income and for the appropriate earnings multiplier are detailed within the report.

This method, when used properly, is able to predict the range of prices at which a business is likely to be sold. 
 
GLM’s Valuation uses the following elements in arriving at our estimate:

• 2020 profitability
• Company assets
• Type of business
• Business longevity
• Competitive environment
• Customer concentration
• Vendor concentration
• Geographic location
• Profitability trend
• Revenue trend
• Estimated value of plant and equipment owned by Your business
• Working-capital requirements

If you are interested in learn more about how much your business is worth, Contact us:
​
Tom Gosche
630-675-8971
tomg@goglm.com
Schedule a 30 Minute Online Meeting: https://tomgosche-goglm.zohobookings.com/#/customer/30minuteonlinemeeting

Courtesy of Adrian W. Hollander, C.P.A., CISA, CIA, CBA, CFSA,
President of COMPLUS Inc. – Professional Controllers
(773) 233-0306 AHollan700@aol.com
  
A business owner should write his/her own business plan.  A ghost-written plan is virtually valueless because the ideas are usually those of the writer not those of the business owner.  There are some computer programs to guide plan construction.  They may produce a more literate result, but may also hide the true character of the business and its owner.  Be careful with their use.  There should be more thought applied than just fill-in-the-blanks.  There are numerous classes offered through various business groups and local colleges and universities on “How to Prepare a Business Plan.”  Many are free.  Attend one if you need to.  “Old” prospectuses (business plan material prepared by companies for selling securities to the public) may be available from stock brokers and other investment advisors.  These will provide examples of how the “big boys” do it.  Full disclosure is critical.
 
A business plan is the blueprint for the future development of a business.  It expresses the vision of its leadership.  It describes the resources that are available and those that are needed.  It describes the competitive advantages, and threats.  A business plan should be a process, not just a product.  Write one; think about it; discuss it with your key business allies; and then revise it at reasonable intervals.  Below is a “sample” table of contents for a business plan.  It’s just a good place to start.  Please revise it and flesh out the content to suit your specific circumstances.  Best wishes for much success.
 
 SAMPLE BUSINESS PLAN CONTENTS

1. Executive Summary

2. Current Situation

3. Vision

• Mission Statement
• Goals (long range)
• Objectives (short/medium range)

4. Management

5. Product / Service Description

6. Market Analysis

• Customers
• Competition
• Opportunities
• Risks

7. Marketing Strategy

• Personnel
• Facilities / Equipment
• Pricing & Profitability
• Advertising & Promotion
• Public Relations
• Selling Tactics
• Distribution Channels
• Business Relationships

8. Production / Manufacturing Strategy

• Personnel
• Facilities / Equipment
• Intellectual Property
• Regulation / Compliance
• Supply Chain
• Business Relationships

9. Administrative Strategy

• Personnel
• Facilities / Equipment
• Management Information
• Worker Administration & Benefits
• Regulation / Compliance
• Business/Professional Relationships

10. Financial Information  

• Pro Forma Balance Sheets (for 5 years into the future)
• Pro Forma Income Statement (for 5 years into the future)
• Detailed Budget (for next 12 to 24 months into the future)
• Cash Flow Projection (for next 12 to 24 months into the future)
• Break Even Analysis (show growth steps, if applicable)
• Summary of Existing Resources (people and money)
• Potential Sources of Funding

While the deadline to file and pay federal income taxes has passed for most people, some taxpayers may still be dealing with tax-related issues.

Here are some tips for taxpayers handling some of the most common after-tax-day issues.

Check refund status
Taxpayers can check on their refund using the Where's My Refund? tool. It is available on IRS.gov and the IRS2Go app. Taxpayers without access to a computer can call 800-829-1954. To use this tool, taxpayers need their Social Security number, tax filing status and the exact amount of the refund claimed on their tax return. The tool updates once daily, so there's no need to check more often.

Check withholding
All taxpayers are encouraged to check their withholding using the Tax Withholding Estimator on IRS.gov. This will help them make sure their employers are withholding the right amount of tax from their paychecks. Doing this now will help avoid an unexpected amount due and possibly a penalty when they prepare and file their taxes next year.

Taxpayers can use the results from the Estimator to help complete a new Form W-4 and adjust their income tax withholding with their employer. Taxpayers who receive pension income can use the results to complete a Form W-4P and submit to their payer.

Review payment options
Taxpayers who owe taxes can review all payment options online. These include:

• Paying their taxes owed or making a partial payment with IRS Direct Pay
• Paying by debit card, credit card or digital wallet  
• Applying online for a payment plan

Carefully consider if they need to amend a tax return
After filing their tax return, taxpayers may find they made an error or forgot to enter something on it. The IRS strongly recommends taxpayers use the Interactive Tax Assistant, Should I File an Amended Return? to help determine if they should correct an error or make other changes to the tax return they already filed.

Common errors taxpayers should fix are those made about filing status, income, deductions and credits. Taxpayers usually do not need to file an amended return to fix a math error or if they forgot to attach a form or schedule. Normally, the IRS will correct the math error and notify the taxpayer by mail. Similarly, the agency will send a letter requesting any missing forms or schedules.

Those expecting a refund from their original return should not file an amended return before the original return has been processed.

Currently, it is taking the IRS longer to process mailed documents including paper tax returns and all tax return related correspondence. It is taking the agency more than 21 days to issue refunds for some 2020 tax returns that require review including incorrect recovery rebate credit amounts or returns that used 2019 income to figure the earned income tax credit and additional child tax credit.

B2B/B2C Business Owners/Professional Services:   Any business that communicates with customer and delivers good/services to them

• Businesses with 0 - 100 Employees and/or  $0 - $100M in Yearly Revenue
• Business within Chicagoland and beyond
• Business Owners
  • Committed to leveraging technology for a simplified and seamless business operations
  • Interested to maintain immaculate records and details with minimal effort and cost
  • Want to grow business with clear advantage over the competitors

 
Please introduce me when you hear a business owner say:

• “I pay subscription for so many technology services and make them work for me.” [Example, CRM, Zoom, Mailchimp, Quick Books, Website, Payroll, Time-tracking, HR, Office suite, Calendar booking, and many more can be replaced with just one subscription based system.]
• “I want the technology to just work” or “I don’t want to think and worry about my technology” or “I want IT to be like a utility; it should always be on and do its job.”
• “I am not able to understand what value my technology delivers” or “how can my technology help me grow my business”

 
What Sliver Does: We offer a software technology platform which resides on the Cloud and acts as “the Operating System for business”. It helps businesses manage customers, employees, marketing campaigns, projects, books, digital communication, and much more --- all through a single sign-on interconnected suite of software applications. All this for a VERY SMALL subscription fee.
 
How Sliver Does it: We understand our clients’ business in details and set up a SaaS based IT platform and configure it.  We also provide ongoing support and process best practices that businesses can implement to grow revenue and cut time/cost.  All the records and data are stored on a secure cloud with two-factor authentication giving the owners peace of mind.  The best part is, once the system is set up properly, the data can be tracked for any upstream and downstream activities across function for compliance or forensics.
 
Matching Ideas with Resources:

The most frequent reason given by owners of a privately owned company for considering a sale includes a combination of the following:

• Retirement
• Health Reasons
• Partnership Disputes
• Divorce
• Loss of Key Customers or Suppliers
• Other Business Interests

However, starting a sale exercise is not something your business, irrespective of size, should undertake lightly, and every effort should be made to manage the sale process professionally, and to prepare, or ‘groom’ the business so to facilitate a successful outcome.

This guide has been prepared, based on our proven knowledge and practical experience, to guide owners through the complex phases involved in a business sale. While the content within this guide is comprehensive, we have also presented in a user-friendly style. We believe that this guide can play a significant role in helping business owners like you, deal with the critical issues that will come about during the business sale process.

​Should you have any questions after reading this guide we would be more than pleased to discuss these with you. You will find our contact details at the end of the guide and we look forward to hearing from you!
 
Tom Gosche 
Business Strategist
tomg@goglm.com
630-675-8971

​Cost of goods sold: The cost of products sold; may also be referred to as cost of merchandise sold or cost of sales.

Goods available for sale: Includes all items that have been transformed from raw materials to finished goods.

Gross profit: (Sales - the cost of merchandise sold)

Gross Profit Percentage: (Gross profit / sales)

Operating income: (Gross profit – operating expenses)

Net Income: (Revenues – expenses)

Selling expenses: Costs directly related to the selling of a product or service. A category in the income sheet under operating expenses before administrative expenses.

Administrative/general expenses: Expenses incurred in the administration or general operations of the business; costs not directly related to selling, such as officer salaries. A category in the income sheet under operating expenses following selling expenses.

Ending Inventory: Cost of good sold = beginning inventory + purchases – ending inventory.

Multiple-step income statement: A form of income statement that contains several sections, subsections, and subtotals.

Single-step income statement: A form of income statement that deducts the total of all expenses in one step from the total of all revenues. The single-step form emphasizes total revenues and total expenses in determining net income. A criticism of the single-step form is that gross profit and operating income are not reported.

Bank reconciliation: Analysis that details the items responsible for the difference between the cash balance reported in the bank statement and the cash balance in the ledger.

• : Coins, currency (paper money), checks, money orders, and money on deposit available for unrestricted withdrawal from banks and other financial institutions. (Anything a bank would accept for deposit).

Accounts receivable: Receivables created by selling stuff on credit. The most common transaction creating a receivable is selling stuff on account (on credit).

Direct write-off method records bad debt expense only when an account is determined to be worthless.

Days’ sales in receivables: Estimate of the average number of days it takes to collect accounts receivable, = average daily sales / average accounts receivable.

Return on sales: Profitability metric computed by dividing net/operating income by sales.

It has been a while since we shared our vision. It is placed on the website 24/7 Here

Core Values & Integrity- Requires that we possess and steadfastly adhere to high moral principles and professional standards.
 
Excellence- Requires us to provide clients (both external and internal) with exceptional service and experience.  This means that our work product is of outstanding quality, meets delivery promises and provides value to our clients. 
 
Career Development/Continuous Improvement - Our professionals dedicate themselves to constantly improving client experiences.  As individuals we continuously learn new skills and improve existing skills and competencies.  As accounting, tax and consulting professionals we are committed and dedicated to our clients, the firm, and ourselves.
 
Work/Life Balance – We respect various work/life requirements of our people and strive to be sensitive and flexible to each individual case.  We work with our full time and part time employees to create a win-win arrangement for them and the firm.  We work to live rather than live to work.
 
Client Service – We are committed to providing timely, reliable responses and to nurture the relationship with our clients.  Our goal is to define, measure, understand, manage and improve client expectations and be able to align them with firm core values, goals and regulatory compliance.