TABB Newsletter - First Quarter 2017

News from Austin

Jeff Elder

The Austin chapter had another successful year in 2016 under the leadership of Scott Cronk. Scott served two consecutive years as the president of the Austin chapter. We thank Scott for his commitment and service. 


The new 2017 Austin board is as follows:


News from Dallas/Fort Worth

Andy Montgomery

As a first-year chapter president, 2016 passed rapidly. The DFW chapter enjoyed some great events outside of our monthly luncheons. We hosted a successful buyer's seminar for the second straight year. We added two evening social events with other professional associations, the Exit Planning Institute and the North Texas Association of Government Guaranteed Lenders (NTAGGL).


News from Houston

Dominick Caravella, III

The current membership of the Houston chapter stands at 50 members. Our next monthly meeting will be on Thursday, January 26 at the Palm Restaurant. Mr. Jesse Thompson, business economist with the Federal Reserve Bank of Dallas, Houston Office, will speak to us on "Oil Prices and the Current Impact on the Houston Economy."

I am very optimistic about 2017...



Quick Links

From the State President

Brian Wendler

Record Number of Businesses Sold in 2016 and Trump Presidency Spur Optimism
Each New Year brings hopes of not only continued health, stability and success, but also the hope for greater things to come. As this new year sees changes in our country, it also sees changes in our membership. Please join me in thanking Ben Johnson for his service and devotion as our TABB state president over the past two terms and let us welcome in the new board members with knowledge that greater things are to come.

In our next newsletter, we will be highlighting some programs that will be offered in 2017. As reported by BizBuySell, their annual Insight Report showed 2016 total sales topped 2015’s total sales by 8.6% and 2014’s previous high by 4.6%.  As your new board gets started on a new year, we are going to continue this trend and offer everything we can to ensure the success of all of members. It’s going to be a GREAT year!

Campaign for Clarity

Everyone should be well aware of the securities licensing issues that face business brokers. In Texas, although there is an exemption for business brokers to handle and receive commissions in securities sale transactions when the transactions involves a Texas buyer and a Texas seller (sale of stock, sale of LLC interests, sale of partnership interests, etc.), many take the position that the Texas Exemption as contained in the Texas Administrative Code, RULE §139.27 does not save a broker from the federal Securities Laws that require a license in order to handle and receive  commissions in securities sale transactions.  This affects all of us, because if a broker’s involvement is illegal, then everyone connected to the transaction has risk. 


TABB Education Offerings

John C. Willems, III

Calling all members and interested parties. TABB is looking for new course offerings which would be of interest and useful to our members. We are looking for either half day (four-hour) or full day (eight-hour), courses that may qualify for BCB certification, the continuing education BCB requirements, or generally courses that benefit new and seasoned members of TABB.

Our request is for our affiliate and regular members to develop courses that educate in a number of areas and disciplines. Courses regarding setting up a business brokerage practice, securing listings, negotiation techniques, overcoming objections, marketing the listing, controlling the process, handling the unruly buyer, seller, lawyer or other parties involved in the transaction, and any other area of business brokerage that may serve to educate the new or seasoned broker are needed. 


Affiliate Spotlight - Ahuja & Clark, PLLC

Taylor Herzog, CFA, CAIA

What Booze Can Teach You About the Importance of Unique Perspectives in Valuation

Sometimes having a divergent and unique perspective in valuation can be the difference between a firm's life or death.

Anheuser Busch was founded in 1852 and was a well-established business by the early 1900s. Then in 1920, the Eighteenth Amendment to the US Constitution was passed which established the prohibition of alcoholic beverages. At first glance, a sovereign government passing a law that outlaws a firm’s product should have massive negative consequences for the firm’s valuation. After all, it appears future sales and profits are about to go dry (pun intended).

Virtually all analysts would conclude that the current value of a firm should be massively reduced to reflect the unquestionable loss in future revenue and thus profits.


About TABB

TABB is a not-for-profit professional association representing the business brokerage profession in Texas. The association is the oldest statewide business broker trade association in the country.

TABB's broker members represent both business sellers and buyers and offer privately held businesses for sale, mergers and acquisitions of all types, franchises and business evaluations, and appraisals...

TABB Newsletter - TABB Newsletter - First Quarter 2017