Biz News December 2022

Market Report

The Team at Clyth MacLeod Business Sales would like to thank our customers and clients for allowing us to assist you in the buying or selling a business process.

It has been a pretty challenging year for many and the summer holiday break is very welcome and enticing.

At CML we are so excited by the range of business opportunities we have available heading into 2023, we decided to compile a selection for you in our very first edition of Businesses for Sale. Click below to enjoy some holiday reading and if any are right for you call us, we have team members working over the holiday break.

We would like to also share with you some wise words from a veteran Business Broker - Alan Billington - we enjoy Alan's wisdom and hope you will to.

In the current environment, what's the best approach....polyanna'sh or gloom and discouragement?

Those in business look for solutions given doing either of the above is probably either delusionary or depressing.

But being people, human nature inevitably trends towards the normal reaction we are all subject to....fight or flight or just try and hide.
The economy has been here before; it's just that we've all forgotten the last time or too young to have been there.

Following the dotcom crash of 2000, the GFC of 2008 and now this, people and companies will continue to buy and sell businesses.

True enough, the pandemic slowed a lot of activity to a crawl as everyone tried to figure out which way was up, but nevertheless buying and selling eventually picked up along the way.

This is all very much the bleeding obvious one would think....what products and services remain in demand regardless of whether the NZ economy is heading up, down or in-between? Such enterprises may have a slowdown or up-tick in performance as a result, but they continue on and those anomalies are normalised out one-way-or-another anyway. Resilience is the key, so look at what they do and, all things being equal, if that is likely to remain in demand. Expect to pay for that resilience as well and do it before the other person clicks or company manages to overcome its decision-making inertia.

Buy the machine/platform which delivers those profits and while prudence is wisdom, stop quibbling about the stuff that doesn't really matter. If you want that cash-flow going to your bank account, you know what to do. Are you really going to start something from scratch when those clients, the platform and the profits are available and already doing it? Either way there's a price to pay and just wishing for cash-flow is not going to get you there. Carpe diem and anyway, there's a due diligence check before the price is paid.
Alan Billington