Search with Passion

There is a common misconception that there are a lot more business brokers today than ever before or that the United States is saturated with them. Neither is true. In fact, the number of business brokers has remained fairly static over the years. Research suggests that there is currently one business firm for every 1,600 businesses.

The type of business broker that a business owner will use will vary from the rookie broker all the way to the exceptional, highly qualified intermediary with extensive experience. And just as there is a wide variance in the choice of business brokers or intermediaries that the business owner can choose from so are the stats on success rates. Based on the business records of brokers one in twenty buyers in the hands of a rookie broker could be predicted to make an offer to buy a business. The rookie usually needs three offers to make a sale. Buyers who deal with brokers or intermediaries when buying a business have:

What is obvious from this information is the tremendous importance to be placed on not only the type of broker or intermediary but the qualifications and experience of that choice. Look for the firm that has a program to educate buyers and sellers in the critical processes and procedures necessary to become more effective in the buying and selling of businesses. The business owner thinking of selling absolutely must conduct due diligence on the intermediary to be retained to handle the business owner’s single biggest asset, the business. The due diligence should focus on qualifications, experience, seller references, pre-sale preparation procedures and forms and systems to be used by the intermediary to ensure confidentiality and to qualify buyer prospects.

Lessons that have been learned

The chances of a business being sold when placed on the market are in direct relation to the care that the business owner has given to the choice of the Intermediary to be retained AND the level of preparation that the business owner has gone to in the “packaging” of the business for sale. By packaging we mean a “ Pre-Sale Audit” done to ensure that the obstacles that often appear to ambush the seller during the due diligence process conducted by an intending buyer have been dealt with. in the Pre-Sale Audit stage.

Helping Business Owners to take the First Step

For the seller who has decided to sell or is thinking about doing so and is in the due diligence process there is no shortage of brokers or intermediaries to choose from. But as in all fields it is not crowded at the top and this is where the business owner should focus their attention. Don’t take the easy way out. Search for the right intermediary with passion. But do your homework to make sure that they are right for the task at hand. Go for the high note.

   

          

  

Looking for that right business is slow arduous and frustrating process that can make you and the dog a little crazy.  Doing so without professional help is like hunting with a good bird dog only to miss the bird when it it is flushed.  The saying "bad luck to a good hunting dog" comes from having your dog flush the prey only to have you completely miss the shot time and time again.  Each time you do the dog turns and looks at you with a look of disappointment and wonders why you missed.  Again...  Eventually the poor dog loses its enthusiasm for the hunt.

If you are seriously seeking the right place to put your money, the right business for you where you can go each day and where you can prosper and realize your dreams you need a good bird dog.  But you also need to shoot straight to hit the target.  Begin at the beginning by narrowing down the type of business that you would like to own and can afford.  Marshall your resources so you can raise the necessary equity capital and debt financing to buy the business and then look for a business intermediary who can with or without a buyer paid fee narrow down the search for you.  That intermediary will possess the skills and experience to show only those businesses that meet your criteria and will be able to create the working relationship with the seller or the seller's agent to obtain the items necessary for your due diligence.

Choose an intermediary with the internet connections to be able to 'trap' the type of business that you seek though search engine tools to filter out businesses of no interest.  Be good to the dog .  Shoot straight..

 

---