If you’re business owner considering the sale of your business, chances are you are still undecided whether to get the service of a business broker or not. Working with a sales agent does not mean that you can go utterly hands-off from the sale process. A business broker should be considered as a member of your team along with your accountant, mentor, financial advisor and attorney. You still hold the steering wheel and direct the course of the sale.
While it can be tempting to do things your way, you might want to know the things you will miss out should you DIY sell a business. Below we list some of the key benefits of working with a business broker.
Confidentiality
Business brokers follow stringent procedures aimed to protect the company’s identity and maintain confidentiality. They present the company through a blind profile and are very selective when it comes to contacting potential buyers. Qualified buyers must sign a confidentiality and non-disclosure agreement before they can learn about your business. Without an experienced agent, keeping the sale of your business confidential can be a major challenge. Experienced brokers know how to market a company without revealing their identity.
Business continuity
Business sale can be time-consuming, especially if you’re doing it on your limited capacity. It requires time and effort to ensure that all aspects of the process are fully covered. As a result, you might be distracted from effectively running your business.
Wide reach of potential buyers
Having been in the industry for years, business brokers have the appropriate connections, resources and tools to reach as many potential buyers as possible. They know buyers who are eager to own a business. Their marketing efforts are designed to achieve these potential customers that include private equity groups, other industry players, and individuals.
Marketing
Marketing is a crucial aspect of business sale. A broker can help package your company so that it maximizes the sale value. Their experience in the field enables them to highlight the selling points of your business. They are also aware of what buyers are looking for and can develop marketing pitches that cover these needs.
Proper valuation
Business broker from Orlando, Cress V. Diglio, emphasized that assessing the value of a business is far more complex and challenging than valuing a real estate property. There’s a myriad of variables that can impact the cost of business. Experienced sales agents have access to business transaction database which can guide them in valuing your business. They are also aware of the current market valuations. However, the best way to get the highest valuation for business is by putting out into bidding, wherein several financial viable parties put up the best offers. A broker can help you accomplish this.
Establish relationship
A business sale is not just about closing the deal. It requires a smooth transition to ensure that the company maintains its operations and profitability. A reputable business broker helps facilitate a good relationship between the buyer and seller. He or she can act as a mediator to iron out any potential problems between the parties. This is essential to implement the transition plan effectively.
Better success rate
Business brokers aim to sell the business. As such, they do all things necessary to increase the chances of closing a deal in less time. The sooner the sale gets completed, the better the result in terms of employee retention, customer satisfaction and business operations.
With the help of a business broker, you can rest assured that a professional is working side-by-side with your team for a successful and profitable sales process!
