King & King Business Advisors

Help Wanted:

Internship: Junior Associate

DESCRIPTION:

King & King Business Advisors is seeking a home-based intern to support experienced deal-makers with client marketing, research, and documentation tasks. To accomodate initial orientation and training intern candidates should reside in the Washington-Baltimore area.

Interns will assist the firm’s professionals involved with evaluation, marketing, and negotiation of seller client
engagements and buyer representation projects. This position would be excellent experience for a qualified student seeking a career in investment banking, financial business management, or business valuation analysis. The intern’s primary career focus should be business finance, not accounting or administration.
Other tasks will include maintaining client and prospect database records and file content, and supporting various levels of Seller and Buyer research projects.

Tasks involve critical activities which can have an impact on the success of a business buy/sell
(merger or acquisition) transactions. The intern will gain exposure to a very wide variety of business and industry environments and to the mid-market merger and acquisition industry.

QUALIFICATIONS:
• Minimum of three years’ college completion
• Currently enrolled in business, finance, entrepreneurship and/or law curriculum
• Understanding of business finance; financial statements and analysis and enterprise valuation concepts
• Excellent business English communication skills: verbal and written
• Strong telephone personality and usage skills
• Intermediate to advanced computer skills requiring MS Word, MS Outlook and MS Excel.
• Strong internet research skills
• Maintenance of strict confidentiality and ethics standards
• Previous work in a professional environment conforming to professional conduct standards.
• Use of written & electronic communications media to communicate with clients and customers effectively

Length of internship: Six (6) weeks
This is a part-time non-paid intern position.

Contact:
James M. King, President
King & King Business Advisors
(410) 303-6378
jking@KingandKingLLC.com
Application Method: Telephone or ― via Email to:

I encourage all of you who are interested in buying a business to check out the information on SBA loans that can be found on the Small Business Development Center Network website http://www.sbdc-wmd.com

Below you will find some information on the Low-Doc SBA loan program.

King & King can help you find the right business and get it financed.

SBA’s LOW-DOC PROGRAM

Deals Under $150K
Principals can not have any Police Record
Guaranty Fee - 2-3% of Guaranty Amt - paid by Customer (can be financed)
No Set Equity %
Can’t use for refinancing old debt
2 Page Application
SBA agrees to notify the bank of approval/denial within 3 days of submission
Documentary Requirements still require Proformas, Personal Financial Statements, and Tax Returns
Bank Initiates Request to SBA - Bank Must Be “On-Board”
Interest Rate Charged - Bank’s Market Rate with the following caps:
7 yrs & up - NY Prime plus 2.75%
Less than 7 yrs - NY Prime plus 2.25%
Loans under $50K may carry a higher Interest Rate

For more information please call us or send an email to jking@kingandkingllc.com.

We have openings for business brokers. We will train you for your new career in business brokerage.

King & King can help you to use the Patriot Express program to achieve your entrepreneurial goal to purchase a business. If we don’t have your business in inventory we will coop with other brokers to find you a business or we will launch a direct mail/telephone campaign to find you a business to buy. If you have a business for sale we will market your business to Patriot Express candidates. Read this article below from the Office of Small Business Administration:

SBA’s Patriot Express Loan Initiative Over $100 Million and Counting

More Than One Thousand Loans Go To
Military Service Members, Veterans, and Spouses

WASHINGTON, D.C. – In the eight months since its launch, the U.S. Small Business Administration’s Patriot Express Loan Initiative has produced 1,007 SBA guaranteed loans amounting to more than $100 million, with an average loan amount of nearly $101,000, the SBA announced today.

“Each day sees the number of Patriot Express loans rise and the number of participating lenders, currently more than 773 nationwide, rise as well,” said
SBA Administrator Steve Preston. “We thank these lenders, and those coming
aboard, for their special efforts on behalf of entrepreneurial veterans and others in our military community.”

The Patriot Express initiative builds on the more than $1 billion in loans SBA guarantees annually for veteran-owned businesses, and the counseling assistance and procurement support it provides each year to more than 100,000 veterans, service-disabled veterans and Reserve members.

“We have received a remarkable amount of support for Patriot Express from the lending and military communities since we launched the program,” said Preston. “It is important for us to continue to support our servicemen and women. I am particularly appreciative of the news media’s efforts in big cities and small towns alike, to get the word out on this vital program that helps vets and our military community as it grows day by day.”

Patriot Express is a streamlined loan product based on the agency’s highly successful SBA Express Program, but with enhanced guaranty and interest rate characteristics.

Loans are available up to $500,000 and qualify for SBA’s maximum guaranty of up to 85 percent for loans of $150,000 or less and up to 75 percent for loans over $150,000 up to $500,000. For loans above $350,000, lenders are required to secure all available collateral to back the loan and may obtain collateral for smaller loans depending upon individual bank requirements.

Interest rate maximums for Patriot Express loans are the same as those for regular 7(a) loans: a maximum of Prime + 2.25 percent for maturities under seven years; Prime + 2.75 percent for seven years or more. Interest rates can be higher by two percent for loans of $25,000 or less; and one percent for loans between $25,000 and $50,000.

Patriot Express is available to military community members including veterans, service-disabled veterans, service members leaving active duty, Reservists and National Guard members, current spouses of any of the above, spouses of active duty members, and the widowed spouse of a service member who died during service, or of a service-connected disability.

The Patriot Express Pilot Loan Initiative can be used for most business purposes. Details on the initiative can be found at www.sba.gov/patriotexpress.

Patriot Express loans have been approved in all 50 states, the District of Columbia, the U.S. Virgin Islands, Puerto Rico and Guam and currently range from $5,000 to $375,000 in individual loan amounts. After loan applications are approved by the bank, they are submitted to SBA for approval. Most applications are approved by SBA within 24 hours.

# # #

Editor’s Note:
1. Web-based press kit:
http://www.sba.gov/patriotexpress/SBA_PATRIOT_PRESS_KIT.html.

2. List of Approved Patriot Express Lenders:
http://www.sba.gov/idc/groups/public/documents/sba_program_office/bank_hig
h_paatriotexpress_06.xls

Pasted below you will find an article written by Leo Vidal, JD, MA, CPA regarding the EquityAccess program:

By: Leo J. Vidal, JD, MA, CPA

What are the biggest obstacles to closing the sale of your medical practice? In my experience it comes down to not just price but finding a buyer willing and able to pay what you want to receive in the sale. Related to this is the buyer’s ability to come up with the capital and financing needed to make the purchase at the price you want. (This is especially difficult for young professionals burdened with debt from student loans, buying a home, etc.)

The EquityAccess program solves these problems and others that arise when trying to sell a medical practice. EquityAccess provides medical professionals a potentially tax-free sale of their practices. Once the EquityAccess program is put in place, finding a buyer and closing the sale are almost foregone conclusions.

Top Three Problems the EquityAccess program solves for medical practices:

1. Security: replaces an installment sale of the medical practice with a secure asset for retirement and estate planning.
2. Ownership transition: provides economic efficiencies in transitioning practice ownership which insures the highest possible after-tax proceeds from the sale.
3. Easy Financing: provides financing for practice ownership transitions without limiting the buyer’s ability to finance ongoing working capital needs, nor requiring large amounts of capital upfront.

Monetizing the value of the medical practice

EquityAccess is a way for medical practitioner to monetize the value of the practice, i.e., to turn a non-liquid asset into money. This money can then be used to provide a secure financial future for the business owner and his or her family. It can provide securitized tax-free retirement income as well as achieve all of the professional’s estate planning objectives.

The unique features of EquityAccess include:
1. Superior turn-key lending terms, put in place before the sale
2. Customized tax planning, leading to potentially a tax-free sale
3. Customized retirement planning, including tax-free income for life
4. Customized estate planning, with maximum after-tax wealth transfer
5. Efficient access to business equity to achieve succession planning

Keep checking back on this blog for follow up information on this exciting program such as:
Financing the sale
Summary of benefits of EquityAccess
Finding a buyer is easy
Setting the purchase price
Interest-Only loan need never be repaid
No business personal assets are used as collateral
Sale proceeds are insured against loss
Sale proceeds are not subject to income tax
Example-Selling a dental practice

King & King Business Advisors is proud to announce that we have been chosen by Leo Vidal Financial Consulting as their exclusive partners for the purposes of bring this exciting new concept to the market.

Bethesda, MD — Working with a local expert, Leo Vidal Financial Consulting, King & King Business Advisors and EquityAccess have teamed to bring business owners an entirely new concept that works like a “Reverse Mortgage” for business owners to unlock the equity value trapped in their businesses.

Additionally, this new “turn-key” program gives business owners and professionals, (physicians, attorneys, dentists, CPA’s, etc.), unprecedented capital gains and income tax benefits. The program is called Equity Access, the selling owner is allowed to exclude the value of the business from his or her income taxes.

“The key is how the sale is funded and structured,” said Mr. Vidal, a former Regional Tax Director with the CPA firm Deloitte & Touche. “My firm will structure and finance the transaction to give the business owner maximum tax benefits, and several other key financial benefits as well.”

For example, Mr. Vidal explained, his firm provides financing which does not require the buyer to borrow any money. In some cases the buyer does not need to have any cash at the closing. “This allows for the sale to young professionals, management team members or relatives who want to buy the business but don’t have either the capital or the borrowing capacity,” said Mr. Vidal. “It opens up an entire new category of potential buyers for business purchases,” he said, “which is really important today when we are having a global credit crunch and banks are getting very strict on loan standards.” He noted that the program is ideal for professionals such as physicians, dentists, CPAs, and lawyers who are looking for someone to purchase their professional practices.

“It’s the best program I’ve ever seen for a business owner to convert business equity into safe and secure tax-free retirement income. It’s also a fantastic way to pass on maximum wealth tax-free to heirs,” Mr. Vidal said.

According to Mr. Vidal, the Equity Access program has the following benefits:

1. Provides financing for a buyer who does not have adequate capital and/or borrowing capacity to purchase the owner’s business. (The seller sets the financing terms).
2. Gives the business owner the ability to set the sales price of the business at the level he or she desires, so long as acceptable to the buyer.
3. Allows for up to 100% tax-free sale of the business equity and value.
4. Provides for tax-free investment interest on the proceeds of the sale which are re-invested in the program.
5. Provides for tax-free retirement income payments (or other withdrawals) to the seller.
6. Protects the value of the business equity from the claims of creditors.
7. Provides for the value of the business to be passed on to heirs income tax-free (sometimes estate tax-free also).
8. Insures the seller against any losses on his or her re-invested equity.

King & King is making available a free consulting analysis and feasibility report for any interested business owner. To learn more about unlocking the trapped equity in your business or how to sell your business tax free, call Jim King at (410) 303-6378, or (888) 565-6468, or email Jim at jking@kingandkingllc.com.