A business owner may decide to sell their business, for one or several reasons. Change of scenery, economic downturn, retirement and family reasons just to name a few.
Some people sell while they are ahead and business is strong, maybe ready to enjoy the fruits of their work and spend less time working. Another business owner may be unsure of the businesses future and want to get out and try another venture. In either case, it’s important to consider how to sell the business for the best possible outcome.
As a business owner you might be short on time which would make it hard for you to sell your business privately as this would require you to arrange all of your advertising and handle all inquires and walk throughs. If this is the case, then hiring the services of a business broker might be exactly what you are looking for. Ofcourse, there will be agents fee or commissions. Many business owners choose to use a business broker to maximize their sale with minimal complications.
Using business brokers is similar to using a real estate agent when selling a home. They do all of the legwork, advertising and networking to achieve the sale, and the seller only needs to become involved when there is a serious potential buyer. Just the way a Realtor can help a homeowner set a fair market value selling price for their home, a business broker can help a business owner determine what their business is worth for the sale. It’s always a good idea to get a few opinions on what the business is worth before deciding for certain what price to settle on.
Another great reason to use a business broker is that they already have access to a database of potential buyers who are looking to purchase a business. This gives the broker a better chance at not only selling the business, but matching the best potential buyers and sellers together. Once again this can save you a lot of time by eliminating buyers who are not serious about committing to a purchase.
Business brokers also do a lot of their own advertising in newspapers and business for sale magazines, which gives a business owner additional indirect advertising and good chances for a successful sale. Today’s business brokers are also taking advantage of the power of the internet and uploading there listings online via business for sale websites.
In a world where time is a factor, another benefit when choosing to utilize the services of a broker is that because they are commissioned, they don’t tend to waste their time working with browsing buyers, tyre kickers or buyers that are just looking around a little but are not serious. Their goal is to make the best use of their time to sell your business quickly.
When choosing a business broker, it’s important to meet with at least three brokers so you can compare what they have to offer and more importantly their broker fees.
