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Showing posts from April, 2026

Capital Gains Taxes When Selling A Business In Florida

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One of the most common questions we get asked by business owners is what their tax liability will be when they sell a business in Florida. They want to know how much they will net from the sale of their business after paying off fees, equipment, and other closing expenses. One expense that is often overlooked is the capital gain tax. Many sellers are so eager to sell that they forget about this expense. This is because the capital gains tax is not paid at closing, and it doesn’t affect the business transaction until tax time. Understanding how capital gains tax works is essential for any business owner preparing to exit their company. Understanding Capital Gains Tax When Selling A Florida Business When a seller sells a business in Orlando or any other area, capital gains tax is applied to the actual profit from the sale, not the equity invested in the business. As a very basic example, if a seller spent $50,000 to build their business and sold it for $70,000, capital gains t...

How to Sell Your Machine Shop for Maximum Profit

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This complete guide walks you through how to sell a machine shop for the best possible selling price — whether you operate a precision CNC operation, fabrication business, or full-service contract manufacturing facility. Understanding the Machine Shop Market The American manufacturing sector continues to evolve, and with reshoring and supply chain diversification in full swing, buyers are actively seeking established machine shops with strong customer relationships, skilled teams, and reliable production processes. Even if your business isn’t growing rapidly, it may still be highly valuable to buyers. Buyers may be looking for shops with consistent output, steady cash flow, and diverse client bases. Demand is especially strong for facilities that serve aerospace, medical device, energy, and defense industries — including automotive and nuclear applications. What Determines Your Machine Shop’s Value? Several key factors influence how much your machine shop is worth and affe...

EBITDA vs. SDE: Choosing the Right Valuation Metric for Your Business

When valuing a business for sale, two financial metrics dominate the conversation: Adjusted EBITDA and Seller’s Discretionary Earnings (SDE). Understanding the difference between SDE and EBITDA is critical for business owners preparing to sell. Both metrics tell a story about a company’s profitability, but they speak to different kinds of buyers and deal structures. Knowing which valuation metric to use and what it truly represents can make or break your sale outcome. As business brokers, we can tell you this: the right metric for your business depends on its size, structure, and day-to-day operations. Let’s break down SDE vs EBITDA so you can position your business correctly from the start. What Is Adjusted EBITDA? Adjusted EBITDA stands for Earnings Before Interest, Taxes, Depreciation, and Amortization, but with one key refinement: normalization. This metric is used to value mid-sized businesses and larger companies with professional management teams in place. EBITDA beg...