Can You Be Honest and Still Have Friends?

Even though it means losing out on fees, we routinely turn clients away if we feel they are not ready to sell. Selling a title business is difficult enough under perfect circumstances, and next to impossible when a company’s fundamentals or its management team are not prepared for the rigors of the process.

The first thing we do is carefully evaluate a title agency to see if it really is  ready to sell before we agree to work with management. We look at ALL parts of the business and ask a lot of questions including:

• Do you have the best splits with Underwriters by state (we know what most underwriters’ bottom line is in each area based on what volume)?
• Are your margins consistent with your peers? We do that in part by comparing your margins to others in your market to see if you meet the standard we know buyers expect to see.
• We get that many small business owners balance a need to show a high EBITDA with a desire to minimize taxes. We pore over  your financials and produce a normalized or standardized  version that might exclude certain extraordinary items such as country club dues, non-contributing family members on the payroll… etc.
• Are your expectations of value realistic? A title business is only worth what somebody is willing to pay for it and we have access to comprehensive data, including on deals we’ve closed, to know how to properly value your company.

Sometimes, we advise clients to not sell, but rather spend the time and money to “shine the business up” and focus on certain areas to improve the way their business operates first. That builds a foundation for a successful sale process down the road.

Honesty is a core value of ours.

Anything worth doing is worth doing right.

To learn more, please contact us atdeals@turkandco.comor by phone at 310 294 9199.

Turk & Co is a title industry centric M&A firm with global reach that specializes in selling title companies, large and small. We take a hands-on approach to our client relationships, working closely with you to understand your objectives and build the right strategy for you to achieve a successful and meaningful exit.
The professionals at Turk & Company have decades of experience in helping business owners evaluate all aspects of the buy and sale process.

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