5 Reasons to use a Certified Business Broker?
Upon average, selling a small business can take between 6 to 9 months. Here is a pair of 5 reasons why by using a Certified Business Broker will greatly benefit the seller when selling their business. fusionex
1. Maintain Stringent Confidentiality.
Strict confidentiality is imperative when selling a business. When a business owner decides to sell a business, there is a likelihood of shedding key clients, vendors and employees if word of the sale gets away. We have all potential buyers sign a Non-Disclosure/Confidentiality Agreement before we release any information about the company. We will also find out more about the buyer’s financial ability and his business acumen before releasing any confidential information. Brokers will also protect owners from being bombarded with lookie-loos or callers trying to suss away information.
2. Let the Owner Run His Organization.
It really is imperative that the business owner continues to run the business at the highest level possible also to continue an together trend of the income or they will associated risk a decline in the final sale price. Generally there are hundreds of parameters to offer a business and it’s the Broker’s job to pay close attention to this info. All of us handle the complete sales purchase, from the beginning, all the way to end of trading of earnest. With the broker managing all of the details, this allows the business owner to give attention to keeping the revenues on an together trend. Buyers do nothing like to get a business with a downward trend of the revenues.
3. Offer a Valuation of the Company.
Certified Business Brokerages will review the organization financial records, recast the Profit & Loss Statements to show the actual profitability of the company, and produce an efficient Cash Flow Analysis to show the true stability of the company. A Broker will describe how the valuation was created and will suggest and make clear a viable real estate price. Business Brokers work closely with the owner and their CPA/accountant to obtain the proper information on the financial strength of the company. Buyers like to see financials that are straight forward and transparent, they don’t like to see too much “creative accounting. ”
4. Assist with All Transactions.
Having a Certified Organization Broker as an intermediary during the negotiating process can alleviate a whole lot of tension between the two parties. A owner that is selling his own business can certainly wrap up killing his own offer. Business Brokers help during this very important step up the sales process and that we understand that the owner wants to market high, and the buyer wants to acquire low. Our strategy is to negotiate fairly and have an end end result that both parties can be happy with.
5. Manage all Contracts & Documents.
Business Brokers will manage all of the numerous contracts, documents and paperwork linked to the sale of a business. This process is very time consuming but really important and should be managed by a skilled business broker.