Can Your Business Broker Answer These Questions?

When you’re looking to contact a business broker to help sell you business, chances are, you’re going to have questions. Rockrose Realty has been helping entrepreneurs list their business for sale in Tampa for over twenty years. Our experienced brokers will tell you everything you need to know about selling a business. We tackle any and all projects with a meticulous and optimistic attitude, and we share your enthusiasm and getting your business sold.

Before taking the leap with your broker, there are a few questions that you should consider asking. Think of it as a job interview. You will want to know their experience, their history, their work process, along with a few other key factors.

Here are a few questions you should ask your broker:

1. How will you value my business?

Selling your business is a bittersweet notion, and you want to make sure it is in the right hands. Making sure your broker values your business and sets standards to selling that you are comfortable with is essential.

But more importantly, you will want to know how much your broker will give you business in monetary value. A broker pitches a selling price based off of business valuation tactics. You want to make sure your broker suggests a fair price and that they are not undervaluing it. They should also not set the price too high, as this might deter prospective buyers. Ask your broker what process they take to find the right listing price.

2. How long have you been a business broker?

Naturally, you will want your broker to have steady experience if you hand them your business to sell. Ask your advisor if they can supply relevant licensing. Most brokers will obtain a license of some sort, so their commission is built in, but if not, they may be charging you by the hour. And in most cases, a broker must be licensed in order to legally give you financial advice, which is ideal is you are listing your business for sale in Tampa.

You may also want to make sure your broker has experience handling your specific type of business at a comparable size.

3. What are the chances of my business selling?

If your prospective business broker doesn’t seem optimistic about your chances of selling the business, it is time to look elsewhere. Composing a positive attitude is what you will want in your broker, otherwise it is likely that your business values won’t align throughout the process.

Likewise, be wary if a broker remains adamant about selling your business at your first asking price. Entrepreneurs tend to overlook their business’ flaws and put a higher price value than it is actually worth. It is your brokers job to talk you and inform you of a reasonable price in order to sell your business more quickly.

4. How will you find buyers?

Each broker will have their process for finding buyers. Overall, you want to see that your broker has already laid out a plan to sell your business. Experience brokers may have already set marketing strategies in motion by using tactics that have been proven successful in business selling in their past. Your broker should do more than just list your business. Do they have a network of affiliates to help advertise your listing? Do they maintain a buyer database? Ask your broker what their plans are to marketing your listing in order to find as many potential buyers as possible.  

Contact us

If you are looking for a broker to list your business for sale in Tampa, contact Rockrose Realty to get the process started!

By |2018-10-10T05:16:40+00:00July 16th, 2018|Categories: Business Valuation|0 Comments

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