Lessons Learned
Written by Victor Harding
I am often asked by prospective clients, what does a broker actually do? Is it necessary to use a broker to sell your business? How does using a broker help and finally what do they cost?
Written by Victor Harding
Many of these points have been mentioned in previous columns but perhaps they need mentioning again.
Written by Victor Harding
Most owners don’t know very much about the various methods of valuing companies, which is completely understandable because the methods are a profession in itself.
Written by Victor Harding
Over the last three years, I have had the opportunity to examine two sets of two companies, each set of which is located in the same geographical area of the country and offers the same security services.
Written by Victor Harding
In my last column, I talked about buying alarm accounts from a buyer’s perspective. This time I will address some issues to be aware of if you want to buy an integration business.
Written by Victor Harding
Growing organically on the alarm side of the security industry is difficult today.
Written by Victor Harding
In the scheme of things, 20 years is not a long time.
Written by Victor Harding
In reflecting on this past year’s deal activity, it occurs to me that my deals have been held up mostly by two mundane details: a lack of signed monitoring contracts and an inability on the part of the seller to easily fill in what I call the acquisition spreadsheet on their account base.
Written by Victor Harding
Those of you who know me will have seen some of the points below in different articles I have written but when you deal with sellers all the time and see the issues come up again and again, you feel the need to re-iterate some points.
Written by Victor Harding
It is a completely different sale process if you are selling an alarm versus an integration company. The valuation process is different, the resulting valuations are very different, the buyers are different and many of the terms of the deal are different.
Written by Victor Harding
Most of us working in security know something about “authorized dealer programs.”
Written by Victor Harding
I had a good year in 2015.
Written by Victor Harding
I have been closing deals in the security industry for more than 15 years. When I reflect back on why certain deals did not, or were difficult to close, here are some of the issues I noted.
Written by Victor Harding
I want to pass on some information I have learned from the security market over the last year.
Written by Victor Harding
Bob Miller runs SecureVision View in Aurora, Ont., and has been setting up alarm systems for video verification for 10 years now. More than any alarm dealer I have talked to, he understands both the benefits and opportunities of video verification but also some of the issues connected to this service.
Written by Victor Harding
I have just returned from the annual Barnes-Buchanan alarm conference, held in Palm Beach, Fla., in February. For medium (2,000 accounts and up) and large-sized alarm companies in Canada, this is a conference to consider going to — not just because of the content but also for the networking. Many of the largest U.S. alarm companies are there, along with their monitoring stations, their bankers, their brokers and even their lawyers.
Written by Victor Harding
I have recently become involved in selling more small “integration” businesses. I characterize an integration company as one where 60-70 per cent of the annual revenues of the business are non-recurring revenue items, in particular installation and service revenue.
Written by Victor Harding
Owners ask me what is involved in selling their company if they use a broker like me. The following are the key steps:
Written by Victor Harding
In an earlier article, I wrote about how difficult it is to sell installation and service revenue in the alarm market today. I tried to explain why this is the case — the fact that installation and service revenue is “one-time revenue” and not recurring. However, recently I did sell the shares of what I would call a small integrator — a security company where the bulk of the revenue and value in the company was not in the monitored accounts but in installation and service revenue.