How To Find A Business Broker To Buy A Business

So, you’ve decided to sell your business, and you want to put your company on the market. You’ve poured your blood, sweat, and tears into your business, and want nothing but the best outcome possible. It’s only natural you would want to hire an expert to lend you a helping hand. The only problem is you don’t know where you should start. 

Typically, most sellers will recruit the help of a business broker to assist with the sale. Brokers are useful if you aren’t in a demanding industry, as they’ll know where to look to get your business in front of interested parties. 

But how do you go about finding yourself a broker?

Finding a Broker 

According to a self-construction business in Vancouver, research is the biggest part of searching for the right business broker. There are some options you have afforded to you during your hunt. 

Get Referrals 

Referrals are often the best way to get in touch with a business broker. If you’re hoping to land a trustworthy and experienced broker, ask the people you’re close to, whether it’s a business associate or a friend. 

If you don’t trust your broker, you won’t be able to maintain your confidence in the transaction. If you find yourself at a dead end for referrals, you can turn to your lawyer, accountant, or colleagues for leads. In many cases, the business section of your local newspaper might also have reliable business broker leads. 

The International Business Broker Association 

Imagine if there was a place you could find reputable brokers to help sell your business. Luckily, there is a place you can find just the thing. The International Business Broker Association (IBBA) is a non-profit trade association that provides networking possibilities, education, and professional training through conferences. The association can prove fruitful in your search for brokers in your area of business. 

Analyze Potential Brokers 

Investigate the background of your potential broker. Look into their experience and professional credentials to ensure they have the skills to handle your business sale. You can take it a step further and see whether they’ve received any lawsuits or complaints against them. The Better Business Bureau can help you find their references and experience related to brokering. 

Choose a Dedicated Broker 

A broker that’s dedicated to their work and has a lot of experience can be a huge help with selling your business. They will have the right contacts and understanding to propel your business toward eager buyers. Professional brokers also know how to set a value amount for a specific business. If your company turns out to be worth a good chunk of change, consider a broker specializing in mergers and acquisitions. 

Devise a Marketing Plan

A marketing plan is essential when selling your business. You need to position the sale of your company in a way that’s appealing to potential buyers. Your business broker should be involved in the marketing plan and provide details and advertising strategies that will attract a wide selection of prospects. 

Don’t Tell

If you’re considering selling your business, you should attempt to keep it a secret. The last thing you want is for your staff and suppliers to walk away if they hear you’re planning to sell. Consider it a confidential matter between you and your broker. The repercussions could impact your operations and potential sales if word got out that you want to sell your business. The broker will know how to keep your secret under wraps until you’re ready to take your sale public.  

Avoid High Fees

Most brokers typically charge a 10% commission on the value of your business sale. With this in mind, any broker that asks for an upfront fee is one you can pass on. Once the business has been sold, your broker will take their fair cut of the commission. 

Don’t Let Your Broker Pressure You

Don’t ever let your business broker pressure you into accepting a deal. Remember, your business is on the line. Avoid making any quick decisions and allow yourself to take the time to assess your offers. A professional broker should know when to provide advice and let you make the call. 

Selling your business can be a daunting task. The good news is you don’t have to do it alone. There’s a growing selection of brokers available. You just have to know where to find them. Once you’ve found the best broker for the job, they’ll put you and your business above all else. We hope you found our guide helpful.