Blog
Gordon blogs only when he sees a need either among our members or within a business transaction in which he is personally engaged. Content rich and highly insightful, Gordon's blogs are like an advanced course in business success.
Below are 27 factors that comprise an algorithm which National Diversified Funding Corporation uses to calculate the purchase price (valuation) of Amazon storefront type companies for sale. Why are these 27 factors important? It's not enough to say Amazon storefront companies are valued at four or five times EBITDA (Earnings Before Interest Taxes Depreciation and…
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There is a chasm between the ways wealth was created in the 20th versus the 21st Century. In the 20th, it was essentially invention of devices followed by well managed traditional assets, (real estate, plants, machinery, equipment etc.) leveraging large labor forces. In the 21st, it is development and management of intellectual property leveraged through…
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Just because the cards are all stacked against you doesn’t mean you can’t prosper. In the US on a student visa from Ghana, Zak Senanu could not be legally employed. Zak found himself in dire need of more money for college and living expenses, but didn’t want to do anything illegal. Zak tripped…
Read MoreI received and email from a college student who wants to be an entrepreneur. He was concerned that after graduation it would then take years to get the operational experience he believed would be necessary to start or buy his own business. Here is the pertinent portion of my response to him. I started a…
Read MoreWho is your customer? What is their income level? Age? Gender? Family status? Race? National origin? Industry & Occupation? How many and where do they live? Trends over time? These are just some of the elements that form the basis of evaluating the marketplace you intend to master. When starting, buying or expanding any business,…
Read MoreOne of my apprentices purchased a small regional candy manufacturer. The company had some non-descript products that for the most part were similar to products of other larger candy manufacturers who enjoyed substantially more robust channels of distribution. One of their products was the texture of a gummy bear, the shape of a jelly bean…
Read MoreA question often asked by entrepreneurs is: How much does it cost in legal expenses to complete the acquisition of a company?” A better question would be: "How do I get the services of a top attorney without emptying my pocketbook?" I'll answer both questions here. In the many transactions that I’ve participated in during…
Read MoreA good bank lending officer can be an entrepreneur's most important ally. Yet most fledgling entrepreneurs have unrealistic expectations of their banker. Expect your banker to play it by “the book.” “The book” divides your business entity's history into two segments: 1) before two years of successful operation; and 2) after. To the uninitiated, dealing…
Read MoreCultivate relationships with early stage financing sources, even if you don’t need their money. Angels - Capital Finders - Venture Capitalist - Even if you never raise a dime from any of these sources, as an emerging entrepreneur they are worth, to you, their weight in GOLD. In fact, they have something more valuable to…
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