16 Sep Around the Web: A Week in Summary
The following information has been sourced by Business Brokerage Press for the benefit of the business brokerage community. The views of these articles do not necessarily represent the views of Business Brokerage Press. We hope you find this information helpful.
A recent blog post from Transworld Business Advisors entitled “Five Reasons Business Brokers Improve Closing Rates” discusses the value that business brokers bring to the table. It may be tempting to try to sell your business yourself and save the commission, but utilizing a business broker has several key advantages to help you realize a successful sale.
The following are a few ways that business brokers can improve closing rates:
- Focus & Expertise – Business brokers have seen it all and know how to stay on track so the deal can continue on to close while you keep the business running properly.
- Professional Negotiation Skills – Business brokers know what your business is worth and what the market is like so that they can effectively negotiate a fair selling price.
- Business Presentation – Business brokers know how to tell your story and what buyers are looking for so that your business can be best positioned to appeal to them.
- Network of Buyers – Through years in practice, business brokers develop a robust network of buyers that they can tap into to market your business and bring you multiple potential buyers.
- Invested in Your Success – The job of the business broker is to help you successfully sell your business for maximum dollars. Plus they work on commission, so they don’t succeed unless you succeed.
A recent blog post from BusinessBroker.net entitled “Buying a Business During an Economic Downturn?” explores the benefits of buying a business during times of economic struggles like we are currently facing. One may think it’s a bad idea to jump into a business while the economy is hurting, but that isn’t necessarily true.
When it comes to how businesses perform during certain economic conditions, it’s not the same for all. For example, right now many essential businesses are doing well. Some businesses have pivoted to offer delivery or online services which are in higher demand. These types of businesses can be quality acquisition candidates.
An economic downturn can also thin out the buyer pool and reveal how strong a business really is. These factors can make it easier for you to identify a good investment and successfully execute on it.
A recent article from Forbes entitled “Selling Your Company? Take These Steps To Avoid Regretting It” offers steps business owners can take when selling their business to make sure they are happy with their decision for years to come.
Helpful considerations for sellers include:
- Get to know what kind of buyer you are talking to and understand what they are looking for.
- Be open to financing as opposed to all cash, you may be able to land a higher sale price.
- Try to agree to key deal points early to set yourself up for an easier negotiation process that is fair for both sides.
- Don’t fall prey to hard bargaining tactics, if it doesn’t feel right then respectfully walk away and find another buyer who is willing to make the deal that you are going to be happy with.