New Year Greetings from IndiaBizforSale.com
Managing expectations of the growing platform has thrown new opportunities as well as challenges. This year has been a great deal of learning for most of us at IndiaBizForSale.com. Our number one goal has become number of successful transactions, rest all are hygiene factors.
Impactful events of 2016
This year has given the Indian businesses both big and small its own share of reasons to rejoice and lament. The 5 biggest and most impactful events for the businesses in India have been:
1. Demonetization of Rs 500 & 1000 currency notes
As business owners and operators, we have already gone through the harsh reality of demonetization of the currency notes and the ripple effect it has caused in our day-to-day lives. A lot has already been said about its effects and the chaos it has created in our economy. Some experts have praised it while others have left no stones unturned to criticize it. In our opinion, the demonetization drive would help the semi-organized Indian economy to be organized and become more robust in its activities and outcomes (however, as always the common man would be the biggest sufferer).
2. Launch of Reliance Jio – the biggest telecom disruption
Launch of Reliance Jio has not just affected the small players like Telenor & Aircel and made it difficult for them to survive but even the giants like Airtel, Vodafone and Idea are facing the brunt of it and have lost not just in terms of revenue but their share prices are also on a constant dip. The almost free services offered by Reliance Jio has created a storm for people to either switch to it or expect their service providers to give better offers which most of them are unable to resulting in a massive loss of loyal customers as well.
3. Launch of Start-up India by PM to encourage innovation and entrepreneurship
The launch of startup India campaign by PM Narendra Modi acted as a feather on the cap. The initiative aims at encouraging citizens of the country to hone their skills, work for their desires and become entrepreneurs and reduce the bureaucracy that hinders people from following their dreams and discourages innovation and possible growth of the economy. To add to this initiative the Smart Hackathon Initiative has also been launched by the HRD Ministry of India in collaboration with various other ministries to encourage the students from various technology colleges to innovate and have their own startups.
4. Various government initiatives like Indian Enterprise Development Service (IEDS) for SME’s
Other than encouraging new innovations, initiatives and startups the government has also implemented various initiatives and plans for the SME and MSME businesses of the country, encouraging them in various aspects from embracing technology and becoming more advanced to providing them infrastructure and support to grow and flourish better.
5. Inclusion of 5 Indian companies in the Forbes list of 100 most innovative companies of 2016
Asian Paints (#18), followed by Hindustan Unilever (#31), Tata Consultancy Services (#66), Sun Pharmaceutical Industries (#73) and Larsen & Toubro (#89) are the 5 Indian companies that made their space in the Forbes list of most innovative companies of 2016 and made the whole country proud. Being in the same list as companies like Tesla Motors, Under Armour and Amazon is a clear indicator of the extent of inclination and dedication these companies have been putting towards innovation.
The Role of Advisors in an Evolving M&A Market of Small Businesses!
Is small beautiful?
Of course it is. And who would know it better than you! Whether you are a buyer or a seller of small business, you are in a unique position to appreciate the risks and rewards that come bundled in the process of owning, running, and exiting a small business. Until recently, deal advisors, brokers, and consultants were seen as gatekeepers of the high-stake strategic investments of large size. Clash of titans culminating into acquisitions, or hungry deep-pocket firms gulping down technology companies were traditionally the mainstay of investment bankers.
Today, however, the emerging trend of M&A in small businesses have carved out a fresh avenue for deal experts (Read More) – consultants and brokers are as much vested and needed when small businesses change hands today as they do for large businesses. In case you are wondering, M&A in small businesses are not as uncommon as they used to be! Recently, at IndiaBizforSale, a defense manufacturing company received strategic buyout offer from a Bangalore-based player in allied sector. How then does a transaction advisor fit into the microcosm of an SME? More importantly, how do you stand to benefit from their involvement in a transaction?
Negotiation – Leave it to the Masters
Let’s face it – many of us get cold feet in a board room. It doesn’t mean that we / our business are lacking in any way, it simply stems from the fact that we are not always the best people to argue, speak hard math, battle counter-points and get what we deserve against all odds. More often than not, a negotiation with a strategic buyer is best left to the experts – consultants who act as investment bankers and business advisors for parties. You will be surprised by how much ownership and sense is brought to the table by a seasoned advisor.
Transaction Terms and Structuring
An M&A deal can involve a range of transaction instruments such as cash, seller notes, equity, earnouts, and others which can be extremely consuming for a non-finance person to understand and follow, let alone decide the best for himself! A business consultant comes with professional background and experience in structuring deals and setting transaction terms. Focus on the core deal yourself and let your broker weave his magic on the peripherals!
Sale Preparation – He Who Sees it All
Who said consultants only add value to transactions? If you are unsure about getting the best value for your business from the current state of advisors, get an advisor to do an all-round assessment of your business and advise you on sale preparation. You will not regret it.
Facilitating Sales Process
New to M&A? Need a holding hand to walk you through each and every step of an M&A? Consultants and brokers are your best buddies. They come with rich legacy of several transactions, understand your plights, and have seen the situation from both ends of the table. Hire one today and soon M&A will be a cakewalk for your small business!
Sourcing Buyers
Is it a surprise that consultants, who come with a professional network of potential buyers (and sellers), can help you source prospective buyers? Not just sourcing – hired business advisors become brand ambassadors for your company, provide you with credibility and seek out buyers that match your needs. Leverage their network and maximize the chances of finding a buyer.
Managing Your Business
It can be a daunting task to balance managing business on one hand and taking care of an ensuing M&A on the other. Your business advisor is your partner – since no one can run your business better than you, ease of the transaction load to him while you keep your reins on the business. You will be amazed by how liberating it feels!
As you now realize, with the advent of M&A wave in small business, consultants and brokers have come of age and play a pivotal role in ensuring smooth transactions. Look for a consultant with experience in your industry and good reputation. If you have any queries on the role of advisors and how to find one, reach out to us.
Review of Business Verification Service
With increase in the number of businesses available for sale need has emerged to ensure the accuracy of the information provided and to fulfill this very need we started verifying the businesses available on our platform so as to ensure that both the buyers and sellers have a realistic view and get the maximum benefits of their presence on IndiaBizForSale.com.
The process of verifying a business has been very cumbersome but equally rewarding. Currently, we have selected a small pool (Read More) of businesses that are being verified and have received an overwhelming response from them. We have received all the requested information whether It be business’s last few years’ financials or pictures or any other confidential details and our team is meticulously checking all the information provided so as to ensure that only the verified information is available on the listing.
The enthusiasm demonstrated by the users towards getting their businesses verified and in wanting to connect with verified businesses also led to creation of a special filter just for the verified listings.
To add a cherry on top, 2 businesses listed on the platform got Sold within a couple of months of being verified and 1 more is in process of being acquired.
On the whole businesses with verified tag are getting 3-4 times more views and inquiries than others and hence more and more serious sellers and getting in the queue to get their business listing verified at Indiabizforsale.com.
How can we help you better?
We have been working scrupulously for the last 4 years to provide the best of both worlds. We would now love to hear your opinion on how can we help you better. (click to fill the 20 second survey)
Non of the scheme and policies of existing govt have been much effective with ground reality as these are unplanned and politically motivated schemes to benefit their own section and particular party (BJP) rather beneficial with large number of end users in the country.
The following major schemes and policy implemented by govt;
01. Swachh Bharat
02. Housing for All
03 Smart City Plan
04. Jan Dhan Yojna
05. DeMonetization
The following announcement by govt during general election which are still on limbo and unattended;
01. Bringing Black Money from outside country and crediting in to individual account or needy
02. Providing employment to youth in large scale (apx two lac every year)
03. Providing security to women and poor section of society
04. Proper law and order to protect innocent and honest citizen
05 Bringing transparency and reducing cost of essential goods up to affordable rates
It shows the existing govt. has no proper method of work and sill no road map to work on their manifesto ………… but keep diverting every one by introducing new announcement …….