What is a business broker?
A professional who assist in the buying and selling of a business. The main value of a business broker is to act as a buffer between the buyer and the seller. If you are in the market to buy an existing business, a broker can help you find a business for sale that fits your parameters, including industry size and location. When it comes to selling a business, finding the right buyer can be time consuming if you try to do it yourself. The business broker will locate the right buyer for the business and will help to keep the process confidential. The business broker will incorporate attorneys and CPAs to the process, at the right moment.
What are the steps involved in selling a business?
- Initial meeting: discuss the reasons you want to sell, the market conditions, history of the business and discuss your goals and strategies.
- Preparing the business for sale: this involves reviewing the financial information and working on a recast of income statements. We will also historical and current information regarding the operation of the business.
- Listing your business for sale: this involves the review of the business appraisal, the review of the listing agreement and discussion about additional details of the business.
- Marketing your business for sale: we sell aggressively market your business to serious qualified buyers. We will actively use internet profiles, letters, emails, phone calls and networking with brokers.
- Qualifying Buyers: We will determine a potential buyer’s financial capability, experience and time frame, along with their commitment to the process.
- Presenting to a qualified Buyer: When a buyer meets our criteria and executes a Confidentiality Agreement, a full presentation will be made.
- Conduct a Buyer Seller meeting: When a Buyer meets our criteria, can be financed, has sufficient down payment and is serious about pursuing your business, the next step is to set up a meeting with the Seller.
- Due Diligence: Due diligence is the process of verifying all the important information in all aspects of a business. The due diligence process should answer the questions: Should I buy? How much should I pay? How am I going to pay?
- Presenting the Offer and Closing: We will assist the buyer in making the offer to you. We’ll present the offer, facilitate any counter offer and present a final and complete package to the party during the closing