Reasons Why Business Sellers Hire Brokers
Business sellers often wonder the value of retaining a business broker to help sell their businesses. They ask why they should hire a business broker. There are many reasons we can think of; in fact, Ted Leverette of “Partner” On Call Network wrote a list of “62 Reasons Why Business Sellers Hire Brokers” (May 2013). We’ve reviewed his list and in line with our own beliefs on why business brokers are an essential part in business transactions, 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 an auto body shop or a hair salon or a distribution/warehouse company. It’s what you do every day. You know the ins and outs of your business and its industry. Likewise, selling businesses is what business brokers do every day.
Business brokers know the steps needed to prepare and market a business and then carry it through until closing. They have strategic alliances with other professionals necessary in the transaction, such as attorneys and accountants, to which they can refer sellers.
Business brokers have spent time working with buyers so they are aware of the buyers’ perspective, which is something sellers should know. Knowing what buyers look for and what buyers ask for helps sellers effectively market their businesses.
Again, helping business owners sell their businesses is what business brokers do. If you own a business, you have certain responsibilities and time constraints. Retaining a business broker takes the pressure off a seller to manage all the steps of selling a business: determining a fair market asking price, gathering the necessary information and documents needed, marketing, finding and screening buyers, answering buyers’ questions, collecting and dispersing appropriate information to the right people at the right time negotiating with buyers … and the list goes on.
Click here for more information on how we at Entrust Associates help business sellers.
For Ted Leverette’s complete list of 62 Reasons Why Business Sellers Hire Brokers, click here.