By Jeff Faust, Director of Valuation Services
As business owners approach the age of retirement, it is essential to understand the value of their business in order to plan for their exit. Will you simply close the doors, sell to a third party, gift to another family member, sell to another family member or sell to your (key) employees? In any case, knowing what you may receive for your business will help decide the route you want to go.
Wing Nien Foods is a family-owned business that spans three generations, dating back to 1942 in the United States. Entrepreneur George Hall saw an opportunity to start a soy sauce manufacturing business in San Francisco. Wing Nien Foods became one of the first soy sauce manufacturing companies in the United States. With the help of his extended family, the business did very well. Originally, creating the soy sauce was a manual time-consuming process: a soy bean press was used to extract the sauce, which was then bottled, labeled, and capped by hand. With each generation, this process has evolved to become more efficient and expanded to reach a greater market, while maintaining the same degree of precision and care.