Selling your business can be a time-intensive process with most businesses taking between 6 months to a year to sell. Between finding the right buyer and agreeing on a purchase price to completing due diligence and gaining SBA pre-approval, each step of the process takes time.
The good news is that there are ways to give your business the best chance of selling quicker by choosing the right business broker, understanding the importance of choosing the right one, and knowing what to look for in a prospective broker.
What are the Two Types of Business Brokers?
There are two main types of business brokers, each that takes a different approach to sell your business. The first type of business broker lists as many businesses as they can with the hopes that a few of these businesses will actually sell. These brokers put in minimal work on each listing and put the purchase price at what the seller is asking. There’s no valuation and a high risk of disappointment with unreasonable expectations.
The other type of business broker is one that lists fewer businesses but puts more time and effort into each listing. This broker works closely with the business owner throughout the entire process, from analyzing financial specifics in purchase price valuation to placing emphasis on converting interested parties to potential buyers. There is a minimized risk of disappointment due to the transparency and clear communication provided throughout the process. Can you tell which one is better for your business?
Why is Choosing the Right One Important?
Choosing the right business broker is vital to find a buyer quicker and reach favorable results. In addition, the time and effort placed into your listing directly impact the exposure and value that prospective buyers will see in your listing. You may have a great business opportunity for someone, but if your listing lacks effort, prospective buyers will move on to the next listing.
How to Find a Business Broker Who Puts in the Effort
Analyzing a few qualifications will help you find a business broker that puts in the effort. First, look at communication methods. Is the potential business broker willing to meet with you and visit your business in person? Fully understanding your business model and the specifics of your company will help a business broker create an accurate listing.
Next, consider the services the business broker is willing to offer. Do they suggest applying for SBA pre-approval or completing an in-depth valuation to find the right list price or do they simply go with what you say? A broker who has your best interest in mind will suggest tools that may require more time upfront but will lead to a quicker sale.
Uncovering the right business broker who is willing to dedicate time and effort to your listing is critical to close your sale quickly at a favorable purchase price. Luckily, our team at Integrity International Brokers is more than happy to put in the work for your business. From putting together well-designed Confidential Business reports or Memorandums that convert interested parties to listing your business on all major websites, we are the dedicated broker your business needs. For more information or to set up a consultation, reach out today.