When selling your business, a business broker can act as an intermediary between you and the buyer. This can reduce uncertainty throughout the transaction and make it less overwhelming. However, not all business brokerage firms are alike, and it’s essential to know these 5 must-ask questions to help you find the right business broker for your needs.
1. Have you successfully completed a sale with a business like mine?
The best broker will have had success in selling businesses similar to yours in terms of size, scalability, and terms of operation. For example, if you have a mom-and-pop company and the potential broker has only sold large corporations, they are likely not a good fit.
2. What marketing strategies and materials will you utilize as you keep my sale confidential?
The best broker will be able to provide customized marketing strategies that fit your unique needs because you won’t be able to sell if you aren’t in front of the appropriate audience.
3. How many years of experience do you have in the business brokerage industry?
You’ll want to consider the broker’s longevity in the business and its reputation. An online search can provide a lot of information, but it’s an even better idea to speak to colleagues or others who’ve dealt with them firsthand.
4. How will you appraise the value of my business?
A good broker will analyze all aspects of your company, from goodwill to cash flow. Because 70 percent of businesses are considered non-saleable, it will do no good to throw your business on the listing board at an impetuous price.
5. Do you have a network of qualified buyers?
Ideally, your broker will have a substantial network of interested buyers who match your desired qualifications. If not, however, you at least need to know that they are able to target the right people, and it’s the broker’s job to facilitate the screening process.
Unlike other business brokerage firms, Hallmark Business Brokers does more than just sell businesses. We work diligently with our clients to deliver results based on their unique needs throughout the sale. Schedule a consultation in our office at 230 S. Tamiami Trail, Suite 2, in Venice by calling 941-445-4726.