Reasons Why Business Sellers Hire Brokers
Business sellers often wonder the value of retaining a business broker to help sell their businesses and frequently ask, “Why should I hire a business broker?” There are many reasons we can think of but our simple response to the question is “because helping people sell their businesses is what we do.”
We recognize that you are the expert in your industry, whether you own a machine shop, an e-commerce business, or a distribution / warehouse company. You know the ins and outs of your business and its industry because this is what you do every day. Likewise, selling businesses is what business brokers do every day.
Business brokers know the steps needed to prepare and market a business, carrying it through to closing. Brokers have strategic alliances with other professionals necessary in the transaction, such as attorneys and accountants, to whom they can refer sellers to utilize their services. Most business brokers have spent years working with hundreds or thousands of buyers, developing a keen knowledge of the buyers’ perspective. Understanding the buyer’s perspective helps brokers effectively market their client’s business, ultimately increasing the seller’s chances at closing the deal.
Again, helping business owners sell their businesses is what business brokers are here to do. When selling a business, owners have certain responsibilities and time constraints. Retaining a business broker takes the pressure off a seller to manage all the steps of the selling process. Determining a fair market asking price, gathering the necessary information and documents needed, marketing, finding and screening qualified buyers, answering buyers’ questions, collecting and dispersing appropriate information to the right people at the right time, managing negotiations… the list goes on. It’s important as a business broker to have a complete understanding of our role and the selling process, so in turn the seller will have the confidence to hire a broker and trust us with their business.