A business broker will protect the identity of the company and contact only owner approved buyers through a blind profile – a document describing the company without revealing its identity. A Business Broker has a fudiciary responsibility keep the sale confidential to the public and to be fair, honest and forthright on all business dealings.
Selling a business is time-consuming for an owner, and with a Business Broker, the owner can maintain a focus on running the business when a broker is working on the sale. It takes a lot of time and effort to screen buyers, market the business and perform the valuation. Hiring a Business Broker frees you up to allow you to continue to operate the business.
Reaching Potential Buyers
Business brokers have the tools and resources to reach the largest possible base of buyers. We use websites that list businesses online. In addition, some use direct mail to targeted buyers, generic social media posts and our own websites. Moreover, we network with many business owners who may be looking to purchase your business.
A business broker can help present your company in the best light to maximize the sale price. He or she has an understanding of the key values that buyers are looking for and can assist in identifying changes that can lead to a better selling price. Most Business Brokers create a “Confidential Business Review. This can range anywhere from 5-50 pages. It represents the features of the business with financial information and photos.
Valuing your Business
Putting a value on a business is far more difficult and complex than valuing a house. Every business is different, with hundreds of variables that have an impact on the value. Business brokers have access to business transaction databases that can be used as guidelines or reference points. The best way for a business owner to truly feel comfortable that he/she got the best deal is to have several financially viable parties bidding for his/her business, which is much more likely using the resources of a professional business broker. Business Brokers will calculate the real cash flow of a business taking into consideration the Owner Benefits.
Balance of Experience
Most corporate buyers have acquired multiple businesses while sellers usually have only one sale. An experience Business Broker can level the playing field for a business owner making his/her one-and-only business sale.
Closing a Deal
Since the business broker’s sole function is to sell the business, there’s a much better chance that a deal will be closed in less time. The faster the sale, the lower the risk of employee problems, customer defection and predatory competition.