Listen to Episode 187
Show Notes
As part of Phase 13: Selling your business we have been talking a lot about the best way to get ready for a sale. David Biddle has started many businesses over his career, including the lifestyle business Smart Boating. After selling that company he co-founded Brilliant Businesses a business broker that emphasizes the important of digital marketing. David has a really unique way of selling businesses by leveraging the power of social media.
David started his career working in the live event production business. Over the next fifteen years he worked all over the world in that industry. He staged conferences and live events for many blue chip companies. After a decade and a half he and his family decided to make a major change, moving from his home in the UK to Australia. He wanted to make a lifestyle change and so bought a yacht charter company down-under. He ran that business for ten years and it was during that time that he began to deploy digital marketing techniques to grow.
After ten years he decided to sell the yacht business. He started by looking for a good business brokers. Unfortunately he found it very difficult to find someone that really understood his business. Yacht chartering is a niche business t hat few brokers had any experience with. They struggled to find the right buyers and they seriously undervalued the company. He and his business partner leveraged their experience with digital marketing to sell the business on their own. They built their own website specifically designed to sell the business. They managed to sell within three months for double the valuation the brokers had offered.
David says people make many mistakes when trying to sell their business. But the biggest is not preparing properly. A rushed sale or an unexpected offer can lead to an owner making a bad decision. Not having the right paperwork is a huge error. Long term financials are a must as are monthly financial statements. He also says that having the right systems and processes in place documented is critical for a successful sale. Making sure the physical location of the business looks good is important. And most importantly, the owner has to be emotionally prepared to sell.
Most people will only sell one or two businesses in their life and the process can appear quite daunting. David and his team have put together and end to end approach acting as a trusted partner to guide owners through the process. David and his team start by making sure a prospective business is ready for sale. Accounts have to be up to date. Physical spaces need to be cleaned and optimized. Preparation also means that all the documents are uploaded to a data vault. That provides for a central clearinghouse for all information about the business.
Once that’s done David begins to pitch the prospective business to the marketplace. They do that by creating a tailor-made website specifically for the sale of the business. This is a standalone website separate from the businesses regular website. The website is selling the dream. It promotes the fantastic opportunity that owning this business will provide. The site features great pictures and videos that will engage a prospective buyer.
Next David promotes the opportunity to an audience. Rather than using a passive marketing approach they are much more proactive. They identify people that they think will be interested in the business and use Facebook, Google and LinkedIn to micro-target those audiences.
David says that if you setup your business to operate at maximal efficiency it will be much more easy to sell in the long run. A lot of business owners find that when they try to sell they company is far too dependent on them. It’s hard to sell an empty shell. Making yourself redundant from your own business is critical. The business should be able to operate without you before its ready to be sold. Finally, you should have a plan in place about what to do after the sale. Having a plan will keep you motivated during the sales process.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 160 originally broadcast on Facebook Live on Dec 16, 2018 we explore this interesting topic.
Show Notes
Starting with a new client can be the first step to a beautiful relationship. But you have to get it right from the start. Today on Fast Fix Monday we present the five things you need in an engagement letter.
- Make sure you describe the scope
Properly define everything you;re going to do so there is no possibility of dispute later. - State your fees clearly
This is a huge part of any dispute. Make sure you client fully understands how much you’re going to cost. - Define who you are actually engaging with
There are an incredible amount of business structures out there. You need to make sure that you are charging the actual person behind those structures. - Identify the matters that you will handle and those you won’t
Scope creep is a big problem for lot’s of businesses. Make sure your client understands the things you won’t be doing for them. - Specify how you will bill
Will you be billing weekly? Monthly? Make sure when and how you bill is fully understood by everyone.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
Show Notes
Royal Commision Called
There was some explosive news this week after the High Court lifted a suppression order involving the Victoria Police and a barrister. The barrister’s name has not been released but we know that while she was representing clients involved in organized crime she was at the same time informing on those clients to the police. The Victorian Premier announced a Royal Commision to investigate what some have called an “appalling breach of lawyer-client privilege.”
Encryption Laws
The Australian Government has passed a new law that will allow law enforcement to access some encrypted messages. There has been a lot of criticisms of the law which some believe gives far too much power to the government to invade individual privacy.
Modern Slavery Laws
A new law recently passed by the Australian Parliament is targeting what’s called modern slavery. Companies with revenues over $100 million will have to report on the risk of slavery in their supply chains.
ASIC and ACCC News
- Former company director John Falconer was sentenced to 4 ½ years in prison for making illegal payments from a company account.
- UBS Security has paid a $120 thousand fine for accidents related to breaching the ASC unfair conduct rules
- Westpac and ASIC had previously reached an agreement where the company would pay a $35 million fine for unfair lending practices.
A judge has now rejected that deal.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 148 – Monthly Legal Updater originally broadcast on YouTube Live on Thursday 8 November 2018 we explore this interesting topic.
Show Notes
Gridlock has become the norm in legislatures around the world. That means not a lot of new laws are getting passed. But there are a few important changes that you need to be aware of.
New Zealand border agents and digital devices
The NZ government has given border agents to search and seize and digital device they want. There is no published data about who is being caught up in this law. In the US where there is a similar law as many as 20 thousand people have their devices searched.
New heavy vehicle law
The government has amended the heavy vehicle law intended to create a “chain of responsibility”. If you’re running a heavy vehicle business you have to make sure you are up to code.
ACCC and ASIC changes
The powers of the main regulatory bodies in Australia have been increased. The changes allow the regulators to more thoroughly investigate complaints. There are also tougher penalties for dodgy franchises.
ASIC and ACCC news
A Perth woman has been sentenced to 6 years in jail after it was discovered that she had stole $1.1 million for a construction company. ASIC has permanently banned her from being able to form or manage a company.
Equifax Australia has been fined $3.5 million after they were found to have mislead customers into buying credit reports when they didn’t have to.
Business Legal Lifecycle UK release
The BLL is headed to the United Kingdom! On November 27th we are launching our Amazon best-selling book in the UK. For all the details and to sign-up you can click here.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 136 – Monthly Legal Updater October 2018 originally broadcast on Facebook Live on Friday 5 October 2018 we go through the changes to the law from the last month.
Show Notes
Time once again for an update on all things legal in Australia and around the world.
Jones defamation case
Australian radio personality Alan Jones has been ordered to pay $3.4 million dollars in a defamation case. The broadcaster was found to have been “willfully blind to the truth” when he said that four brothers were responsible for a 2011 flood.
Bankruptcy reforms
In September the government tabled new legislation to change the bankruptcy act. Some of the changes include a doubling of the current asset threshold amount. The bill also reduces the bankruptcy period to one year. The Attorney General calls it the most comprehensive change to the bill in over a decade.
Max Brenner enters administration
Chocolate retailer Max Brenner has entered voluntary administration, blaming sluggish sales for the decision. The company operates 37 stores across the country and employed over 600 people.
ASIC and ACCC news
ASIC says it continues to monitor unfair contract terms for small business. This comes after a number of lenders have changed the terms of their small business loans. It has recommended some changes but they are small, so far.
Fitness First Australia has paid a penalty to the ACCC. The company paid a $12 thousand fine over allegations it over charged customers for using credit cards for their membership fees.
Westpac has admitted to breaching it’s responsible lending provisions and agreed to pay a $35 million fine. The company was miscalculating customers ability to pay.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 127 – Monthly Legal Updater September 2018 originally broadcast on Facebook Live on Friday 7 September 2018 2018 we go through the changes to the law from the last month.
Show Notes
On this edition of the Monthly Legal Updater we delve into the top legal stories that will affect businesses.
Casual Worker Changes
A landmark court ruling in Australia has granted casual workers the right to annual leave. The case was launched by a truck driver working for Rio Tinto as a casual employee. The court ruled that he was, in fact, not a casual worker because of his regular and continuous pattern of employment.
Changes to foreign property owners in NZ
The new Labour government in New Zealand has carried through on an election pledge and banned foreign, non-resident individuals from buying homes in that country. The law is an effort to control rapidly increasing home prices in cities like Aukland which has seen home prices there more than double over the last decade. Australians are exempt from this new law.
Foodora shuts down in Australia
German food delivery service Foodora has shut down its Australian operations. The company says they wanted to focus on other markets. But it has since come out that the company has left massive amounts of debts for which many creditors are seeking redress.
Huawei banned in Australia
Chinese cell phone giant Huawei has been banned by the Australian government from participating in the upcoming 5G rollout. This follows a similar decision by the US government. Australia and the US are concerned about the close relationship between Huawei and the Chinese security services.
ASIC and ACCC news
A former director of a company named Adam John Coping has been convicted of fraudulently removing company property after the company declared itself insolvent.
The ACCC has fined Heinz $1.64 million dollars for misleading claims it made about a children’s product. The company declared that its Little Kids Shreds were healthy and nutritious. This despite the products containing 68 grams of sugar.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 125 – Fast Fix Monday – Understanding Your Financials originally broadcast on Facebook Live on Monday 3 September 2018 we explore this interesting topic.
Show Notes
Understanding your financials is a critical part of any successful business but it’s not a skill that everyone understands. There are five things you have to get right.
1. Profit and Loss Statements
The money that is coming in and out of your business are the most basic numbers you need to understand. This is just a street map of what’s happening in your business on a weekly and monthly basis.
2. Balance Sheet
A balance sheet will contain your assets, liabilities and equity position. As the title suggest you need to balance those numbers. If they don’t balance then you a have problem.
3. Budget
This is the money you anticipate will come in and your of your business every year.
4. Cash Flow projections
This is similar to a budget but it specifically deal with how much money is flowing into the business. It should give you a good idea of what you can expect that month.
5. Cash Flow Statements
This gives a detailed breakdown of how much money is coming in, where it’s coming from and the form of the payment. Cash is king in any business and you need to know where it’s coming from.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 123 – Fast Fix Monday – 7 Considerations Before You Enter a Lease originally broadcast on Facebook Live on Monday 27 August 2018 we explore this interesting topic.
Show Notes
On this edition of the show we present the 7 things you need to consider before entering a lease. Finding a suitable place to setup your business is a critical decision that you don’t want to enter into lightly.
1. Don’t rush
This might seem obvious but it’s very common for new business people to rush into a lease without looking at all the details.
2. Read the fine print
There is always lots of provisions in any lease agreement. Make sure you read and understand everything in that document.
3. Get everything in writing
You lease is going to be in writing but there are plenty of things the landlord or agent will say to you to get you to sign. Those extra provisions have to be written down event if it’s your own notes written at the time.
4. Look at the premises
You’d be amazed at how many people lease properties sight unseen. Look at the property as many times as you can especially during the times when your business will be operating.
5. Research the property
There is plenty of information out there about the property you’re considering. Google is a wealth of information but talking with the current and former tenants is a good idea.
6. Research the landlord
It’s always a good idea to know who you are doing business with. Talk to the agent, and former tenants to get a good idea about their history.
7. Make sure you can afford it
In the excitement of getting a new property many people forget to work out a monthly budget. It’s not just about the lease payment additional fees and costs have to be factored in as well.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 116 – Fast Fix Monday Monthly Legal Updater August 2018 broadcast on Facebook Live on Monday 6 August 2018 we explore this interesting topic.
Show Notes
It’s time to check-in on the most important legal news from Australia and around the world.
Colleen McCullough Will
The Australian author became world famous when her novel The Thorn Birds sold over 30 million copies. When she died she left the entirety of her $2.1 million estate to her husband of three decades. The executor of the will, however, said that McCullough wanted to leave the money to the University of Oklahoma. The judge said that it was a most unusual case but decided to give the money to her husband.
Modern Slavery Law
The new Australian law demands that companies ensure that their supply chains are slavery-free. Human rights activists have criticized the law for not including any penalties if they breach the law.
Parents throw son out
30 year old Michael Rotondo was still living at home despite being given multiple eviction notices by his parents. They took him to court and the judge decided that he had to leave the premises immediately.
ACCC data protection law
Earlier this year the EU brought in tough new data protection laws that levied harsh penalties on companies that don’t adequately secure customer data. The Australian Competition and Commission Chair has said that he is considering bringing in similar regulations in this country.
Cryosite cartel allegation
Cryosite is one of the biggest suppliers of cord blood in the country. During its acquisition of competitor Cell Care customers were instructed to take all their business to Cryosite. The ACCC has ruled this amounts to cartel conduct.
ASIC bans bank manager
The regulator has banned a former regional bank manager for fraud. He is alleged to have accepted false documents for loans.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
In Show 107 – Monthly Legal Updater July 2018 originally broadcast on Facebook Live on Friday 6 July 2018 2018 we go through the changes to the law from the last month.
Show Notes
On the Monthly Legal Updater this week we look at the budget changes that will come into effect in July and August.
Comprehensive Credit Reporting
Additional information held by credit rating agencies will be made available to lender to make better lending decisions. The credit reporting agency will now have a clearer picture of each individual’s credit history..
GST Collection Austra
As of the first of July GST on any residential property will now have to be directly paid to the ATO.
Tax rate changes
Tax rates for individuals have changed in Australia and come into effect July 1st.
Gambling in the USA
Sports gambling in the United States has been illegal since a law was passed in the 90’s. The US Supreme Court has struck down that law.
ASIC/ACCC News
- ASIC is looking for accountants who are advising people of self-managed super funds will now have to be accredited.
- Initial coin offerings are exploding in number. ASIC is now asking people to report more information about corrupt ICO deals.
- Apple has been slapped with a $9 million fine for releasing software that bricked their devices and now issuing a fix.
More about this Show
We started Business Legal Lifecycle to create a simple way for you to understand complex legal terms. Most importantly we want to help you to develop a plan to take your business successfully into the future. There’s a startling statistic the underscores the importance of developing a solid plan. The majority of business owners are just seven months away from losing everything. A single aspect of your business that is not set-up correctly can shut down your whole operation very quickly. Legal advice is not cheap and even when you can afford it there is often a divide between lawyers and their clients. We want to close that gap once and for all. We want to put legal knowledge and tools into your hand to prevent the worst from happening to you.
Twice a week we are going to deliver those tools right to your home or office with Business Legal Lifecycle TV. We’ll start the week with Fast Fix Monday, a short 5-10 minute video that will tackle a single issue that businesses have to deal with. Then on Wednesday’s our main show will feature with more fulsome discussions and interviews all delivered in a straightforward and easy to understand format.
