06 Oct MOTIVATED SELLERS, what makes them motivated?
You see this term on many business listings online or hear it from listing brokers all the time. Have you ever wondered what makes a seller a “Motivated Seller?”
There are several reasons that a Business Seller would be considered a “Motivated Seller.” Generally they all have a sudden important “motivator” such as a serious personal or family health issue, or they are planning on moving out of the geographic area for reasons beyond their control. Perhaps they are just really burnt out and want to get out of the business. These are only a few of the possible reasons for a seller to be especially motivated.
Whatever the reason, the “Motivated Seller” is usually spurred on by a need to sell as quickly as possible. This is good news for you as a buyer. Often it means that a seller will consider an offer that maybe they would not have considered previously, or that this business may go for a little less than others comparable to it. You want to see this term on a listing.
There are certain precautions one should take to ensure that the motivator is not a negative material fact of the business, reasons you do not want to see are poor performance, or a downturn in the industry/market that is not expected to recover, or a lease that will eventually bury the business, just to name a few. Just be prepared, good advisors such as your business broker, accountant and/or attorney can assist you in making an informed decision on any turnaround business.
Currently, Sunbelt Indiana Business Resource has over 100 businesses listed, some of which have “Motivated Sellers.” To review our current listings… click here.
The above article is used with permission and was originally posted at http://www.sunbeltindiana.blogspot.com/