Any business owner who
has sold a business on his or her own will tell you it’s a long, tedious and
stressful process. It consumes time and distracts you from the day-to-day
operation of the business. While your focus should be on maintaining or
increasing the value of your business, all of your time and energy is directed
to the sale process.
That’s where an experienced, qualified
business broker can pay huge dividends. A professional business
broker can help guide you through the complicated process of selling your
business. There are many areas where the business broker expertise pays
off:
- Confidentiality. A business broker protects the identity of the company and only exchange information to buyers approved by the seller after signing a Confidentiality Agreement. This agreement binds the prospective buyer from disclosing any information on the operations of the business.
- Business Continuity. Selling a business is time-consuming for an owner who already is probably wearing many hats for the company. By taking on the additional load of selling the business, essential functions will get less attention and possibly damage the business. The owner can maintain a focus on running the business when a broker is working on the sale.
- Reaching potential buyers. Business brokers have the tools and resources to reach the largest possible base of buyers. They screen these potential buyers to find the most qualified buyer that is well suited to the business and will be able to run it successfully.
- Marketing. 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.
- 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. But the best way for a business owner to truly feel comfortable that he got the best deal is to have several financially viable parties bidding for his business, which is much more likely using the resources of a professional business broker.
- Balance of Experience. Most corporate buyers have acquired multiple businesses while sellers usually have only one sale. An experienced business broker can level the playing field for a business owner by making his 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.
Utilizing the
services of an experienced, professional business broker allows the owner to
focus on running the business reducing the risk of business erosion during the
sale process. A sale facilitated by a business broker helps maximize
sales proceeds by involving a large universe of buyers in a confidential,
competitive bidding process.
