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[Lost in LOS]

Abrak, on 2009-10-27 10:07:59, said:

womble, on 2009-10-27 21:43:16, said:

Ok so here's another option, my wife is against it, but it may well be the best solution as it will get me the income I need.  There is the option to retain 25% or perhaps a slightly smaller or bigger amount of the business, the choice is mine really.  It'll be a bit weird being a minority shareholder in a business that I built and set up from scratch, "My Baby".

But it is a business that has great prospects for the future and as it is tourism related and is profitable even through these turbulent times, i'm pretty sure it'll become even more profitable as this sector recovers.

So instead of trying to research Thai stocks which I know nothing about to gain dividends, why not retain a small part of my own business which I know inside out and take my income from the monthly dividends gained from the profits of something I will have some control over.

Does anyone have experiance in selling out the majority of their own company and retaining a minority stake.  Would be interested in peoples views on this option.

I certainly do and my advice is don't do it. You built your business you know how it should be run and there is a fair chance the new owner will screw it up with out you having a word to say. So unless you are really confident the new owner will add a lot of value take your money and run. Ultimately 25% of something can be worth next to nothing. And you will find my guess is that there is nothing worse than ownership without control unless you have complete faith in the new owners

you say you don't know how to value a company. is that really true-?

my resturants were going strong for 5 years and I sold them 100%.   They closed within 4 months since the buyers changed everything to their "better" ideas.  get out fully if you get out.