This is a challenge that almost every business district manager will eventually have to face, particularly as baby boomers age and many who started their successful businesses are reaching retirement. Perhaps it is no coincidence that I have now been approached at least twice in the past few months by district managers concerned about a local business owner who has expressed a desire to sell their business. In both cases, the businesses in question were important contributors to the overall retail mix, and the loss of those businesses would have significantly hurt the district.

So what do you tell the business owner looking to move on? If you face this problem, it may come as a surprise to that there is a business brokerage community out there focused on helping businesses get bought and sold.  Engaging a reputable business broker is important, and you should find one that is certified by the International Business Brokers Association - and who comes well recommended. The IBBA website is a good resource for articles and information for those interesting in finding more about business sales as well. There are also websites like BizBuySell.com and BizQuest.com that specialize in business sales and purchases where an owner can list their business. Earlier this week, I also noticed a short piece called “How to Sell Your Business” recently published in The New York Times on-line edition by Barbara Taylor, a business broker. It is a good primer with a  list of additional resources as well.

Selling a business is not like selling a home. The level of due diligence that prospective owners require is significantly greater – and the value of a business, particularly a small business, is often inextricably linked to its owner. Case in point – NBC Nightly News recently covered the challenges that Ann of Ann’s Snack Bar, a Atlanta burger joint known for it’s “Ghetto burgers”, is having trouble selling her successful business. This destination business has lines outside the door.  But with no buyers, Ann’s might not be around for much longer.  This would be a huge loss to surrounding business – and we hope for the sake of the district that she gets the help she needs to find a suitable buyer. Helping your owners find the resources they need to prepare their business for sale is an important way in which you can help – and one that could very well help the business remain in your district. » Read more: Owner Wants Out. Now what?

Census figures have just come out and the long standing argument that the census undercounts urban areas is bound to become part of the story. In fact, the State of California is already prepared to argue that they were undercounted in 2010 by 1.5 million.

Cities are where the undercount typically happens. That is because ‘hard to count’ populations reside in urban areas. In fact, the last census is estimated to have resulted in an undercount of 1 million people of color in New York alone. The undercount not only affects the amount of Federal dollars heading to New York, it grossly under represents to retailers the opportunities for  business, as most retail market analysis is based on census figures. If those figures are off, then businesses will come to inaccurate conclusions about market potential in urban areas. Consider that an undercount of 1 million individuals at a median income of approx. $22,000 per person represents $1 BILLION in unrecognized income - and you realize how much is at stake.

The International Council of Shopping Centers (ICSC) completed a survey of retailers in 2004, in partnership with Business for Social Responsibility, and asked them why they didn’t invest in urban areas underserved by retail. The second most cited obstacle to investment in underserved markets was an “insufficient concentration of the retailer’s target customer”. A Census undercount contributes to that fallacy.

Yet not all retailers are avoiding urban markets. In fact, this September chain behemoths Walmart and Target unveiled “urban” strategies – and the announcements cited both the diminishing opportunities in the traditional suburban marketplace and the unrecognized opportunities in the urban marketplace.

» Read more: The Census is Here! Is it Too Early to Worry about an Undercount?

Sharing retail space is not an uncommon approach to reducing costs among retailers. I recently toured the Lower East Side Business Improvement District with representatives from the City of New York’s Small Business Services and was excited to see a nice example of shared space. The Lower East Side is historically known as America’s original bargain district. Today its identity is in transition, as some of the original garment stores co-exist beside new entries into the market. One of those new stores is Earnest Sewn, a back to basics men’s clothing store that fits right in with the district’s historic identity as a garment district and newer identity as a hip place to shop, east and visit. We got to meet the owner and hear about his growth (this is their second store, the first is in New York’s Meatpacking District). What intrigued me was the boutique flower store is tucked in a corner inside the store. At first it didnt’ seem the most logical fit, until you looked around and noticed how wonderfully the floral and plant arrangements complimented the merchandise. The owner mentioned that the shared space arrangement is something that they have replicated in their other location.  I took some pictures to share…enjoy!

» Read more: Sharing Retail Space – More than Just Sharing Costs