Selling a business can be a long, tedious, and stressful process. It can take up a lot of your time and distract you from running your business. Utilizing the services of an experienced, professional business broker can help you focus on running your business while they guide you through the complicated process of selling your business.
Here are some areas where a business broker’s expertise can make a difference:
Confidentiality: If you’re trying to sell your own business, the process can reveal that the business is up for sale. This can make employees, customers, suppliers, and bankers nervous, and competitors may take advantage of the situation. A business broker can protect the identity of your company by using a blind profile that describes your company without revealing its identity.
Valuing Your Business: Putting a value on a business is more complex than valuing a house. A business’s value is determined by many factors such as sales, earnings, performance, market outlook, personnel, net book value, and fair market replacement value of equivalent operating assets. But it can also be influenced by intangible assets like the company’s image, reputation, and goodwill. A business broker can help you determine the value of your business and maximize the sale price.
Marketing: A business broker can help present your business in the best light to maximize the sale price and can expose the business in a confidential way to a large universe of prospective buyers. Today, most buyers are coming out of corporate America and are willing to relocate. They are intelligent, have the financial resources, and are eager to buy a job.
Reaching Potential Buyers: Business brokers have the tools and resources to reach the largest possible base of buyers. They then screen these potential buyers for revenue that would support the potential acquisition.
Closing the 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.
A reputable business broker will ask you the right questions to help you organize your thoughts, review your priorities, and understand what the market will bear. In the end, you’ll find yourself in a better position to negotiate and close the deal.
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