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Coupon Books And Post Card Advertising Agencies
HOW TO EVALUATE THE TRUE WORTH OF A BUSINESS
PART 3 of 21
“Coupon Books and Post Card Advertising Agencies”
By: Willard Michlin
One the industries that I particularly like, even in bad times, is the advertising industry. These companies come in all colors and sizes. Some publish books, of nothing but coupons. Others sell packets of post cards for different types of businesses. The other variations are local community magazines that are distributed free at newsstands in supermarkets, health clubs and convenience stores in various target areas. I personally own one of these local community magazines called The Latest Magazine.
The plus points of this industry is that the worse business becomes, the more there is need to advertise and expose businesses to potentially new prospects. Businesses need to advertise even though they hate to spend the money and advertising is one of the first expenses that are cut. Regardless, if you buy an existing business, or buy a franchise, you need to bring in the first customer or just start from scratch on your own, the difference between success and failure is just one thing and one thing only: the owners’ ability and comfort level of the marketing to sell advertising. It is possible to make substantial profits with a moderate amount of work. You are a salesperson and can show a business owner the necessity to do advertising. An untrained salesperson will fail, while a good sales person will succeed big time, in the exact same business. Salespersons are the highest paid professionals, in the world. I know you thought it was some other profession, but it is not. One hundred twenty five years ago Diamond Jim Brady sold railroad rolling stock (engines and railroad cars) to railroads that were laying track across America and was paid a 10% commission on all he sold. That is equivalent today to the armament dealers who today sell jet airplanes to Kuwait. The top salesperson in medium size companies regularly makes more money then the owner that is of course, only if the owner has any brains. Other related types of advertising businesses include website builders, the Internet and magazines. On a case-by-case basis, these types of businesses can be great businesses to own.
I myself own a magazine, and have assisted others in their evaluation of individual advertising companies that are on the market for sale. Consequently, I have done extensive studies of all the different types of advertising mediums and their plus and minus points. I would be happy to educate anyone who is interested in buying a business in this field.
Willard Michlin is a Due Diligence and Business Evaluation Advisor. He is also a California Business Broker and a California Real Estate Broker. He has published many articles and is in demand as a public speaker in the Southern California business community.
About the Author
Willard Michlin is a CPA and offers assistance in the key areas involved in the buying of a business: Due Diligence and Business Valuation. He is an experienced, honest and trustworthy consultant. He has published many articles and is in demand as a public speaker in the Southern California business community. You can write to Willard at info@evaluateabusiness.com and he will always answer your questions. He can also be contacted at his Ventura County, California office by calling 800-864-0420 . See other articles and information about his services at: www.BusinessBuyingServices.com
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