Thinking about retiring? (Page 2): I'll see your $0.02 and raise you $0.02. I think the keyword is; "he" Someone buys the business suppose that new owner does not have the same vision...

traderjohn Loc: New York City

TonyF wrote:

I would have to respectfully disagree with you. I certainly do think he has a business to sell. According to the OP, "...I have built the sports part of the business for the last 40 years..." Do you think another person can just walk in off the street and get this business that he built up over the last 40 years? He has 40 years of relationships, contacts and maybe even contracts with these teams. I certainly do think he has something to sell.

Just my .02 worth.

I'll see your $0.02 and raise you $0.02. I think the keyword is; "he" Someone buys the business suppose that new owner does not have the same vision as the prior owner. He sees things in a different manner. The present contract(s) may not be binding on a new owner.

shutterbug64 Loc: Colorado

A one man business is the only way to go. I spent 40 + plus years the other way. Enjoy this a whole lot more.

Had a younger associate I was training and was going to buy the business after 1 year of training, but after she kept putting me of to buy it, 4 years and she decided it was to much work and backed out of the offer.

I net a good living out of it.

It's all personal contact business that I have built. No contracts. It would have to be a transition.

So I've pretty much done all that you have mentioned, but I appreciate the advise. Everyone now days wants everything for nothing. Wish it was still film and not digital. Digital takes the knowhow out of it and everyone wants to be a photographer.

mgoldfield

TonyF wrote:

I would have to respectfully disagree with you. I certainly do think he has a business to sell. According to the OP, "...I have built the sports part of the business for the last 40 years..." Do you think another person can just walk in off the street and get this business that he built up over the last 40 years? He has 40 years of relationships, contacts and maybe even contracts with these teams. I certainly do think he has something to sell.

Just my .02 worth.

Yes, he has the contacts, but the relationships are based on his talent, his style and his personality.
A 40 year PERSONAL history cannot be transferred.

Can you imagine an existing customer who wants to continue with the person he has always dealt with?

Sure, you can sell the business name but not the talent that made it a 40 year success!

M. Goldfield

mgoldfield

traderjohn wrote:

I'll see your $0.02 and raise you $0.02. I think the keyword is; "he" Someone buys the business suppose that new owner does not have the same vision as the prior owner. He sees things in a different manner. The present contract(s) may not be binding on a new owner.

For sure!

shutterbug64 Loc: Colorado

Thought about that. They are a thorn in my side always trying to steal my business. May have to give that a try. A close photographer friend of mine does my schools individual pictures and I do the sports. It is a good working relationship and friendship. Lifetouch wants it all. There are other sports photography businesses along the front range that do just that, maby they are interested.

Thanks for the idea.

shutterbug64 Loc: Colorado

Thank you for your thoughts and you are both right. Oh how well I know you are both right.

Thanks!

TonyF Loc: Bradenton, FL

mgoldfield wrote:

For sure!

I have to agree somewhat with you and TJ. However, when a business like this is sold, the new person just doesn't walk in off the street and buy it. I would assume he has spent time with the current owner, sees what the current owner is doing and wants to keep it going in the current capacity. The current owner will not sell in one day, one week or one month. The potential buyer will spend time with him and be introduced to the current customers. If there is a fit, the sale may or not proceed from that point, with many other factors to be gone over.

I now raise you .02--it's getting a little too high stakes for me!

shutterbug64 Loc: Colorado

You hit the nail on head with that one. That is exactly how something like this has to work. Know it well.

John_F Loc: Minneapolis, MN

It seems to me the main product of a photogrsphy business is all about the person. So are you just wanting to sell all the business hardware. Your main product is your brain and without it how would your hand find your mouth with the coffee cup.

JRD3 Loc: Richmond, VA

I am new to photography but have a 40-year career working with clients in the areas of financial and retirement planning. Some thoughts: seek professional advice on norms for valuing a business. This cam come from a CPA; buyers are wary of buying revenue unless there are long-term contracts associated with that. If buyer pays "x" times annual revenue, buyer should expect at least x+1 for that revenue to persist; sellers can never get a large enough sum to replace the annual income received. A sum of $ 1.25 million is needed to replace $50k of annual income. That would be a hard number to get for a service business.
Good luck.

SharpShooter Loc: NorCal

shutterbug64 wrote:

I have a photography business in Colorado for the ... (show quote)

Hey, maybe now you’ll have time to go out and just have fun with your cameras!!!
I suggest you start to talk to realtors in your area the specialize in selling businesses. A good one can come up sith a buyer that’s qualified to buy the business(most important) and hopefully have enough knowledge that you don’t have to stay on to train to long as per the terms of your sale!! Good luck
SS

Diocletian

shutterbug64 wrote:

I have a photography business in Colorado for the ... (show quote)

My recommendation would be to go through a broker. Yes, they charge a percentage but they will be able to get you far more money. I’ve seen a lot of my friends sell their businesses and get royally....because they sold it themselves, to somebody they ‘knew’ who promised them they’d treat the clients well.

Diocletian

JRD3 wrote:

I am new to photography but have a 40-year career ... (show quote)

Good advice!

lamiaceae Loc: San Luis Obispo County, CA

TonyF wrote:

I would have to respectfully disagree with you. I certainly do think he has a business to sell. According to the OP, "...I have built the sports part of the business for the last 40 years..." Do you think another person can just walk in off the street and get this business that he built up over the last 40 years? He has 40 years of relationships, contacts and maybe even contracts with these teams. I certainly do think he has something to sell.

Just my .02 worth.

The question is, any of that transferable to a new "owner"? Are the contracts transferable (legally). Contacts and relationships may have value but how do you put a price on it? His equipment certainly is salable. A photographer is a service business, nothing like manufacturing or retail.