By: Darren Grady
Arizona Business Brokers and
Exit Strategy Adviser
New Horizon Business Brokers
Time… When are you going to find the time to show your business? We find most business owners are busy running their business. In addition, sorting out the qualified from non-qualified potential buyers takes an unprecedented amount of time and effort that often times impacts the short term profitability of the business.
Money… How are you going to know the potential buyer has the money necessary to buy your business? An experienced business broker will already have a good idea of what the buyer is willing to invest and what he has in the bank.
Confidentiality… We find most business owners do not want employees, vendors, and/or customers to know the business is for sale during the listing process. Professional business brokers will show your business without employees, vendors and/or customers knowing.
Risk… Just think for a moment. How are you going to know if this person or group of people looking at your business and all the confidential records are qualified? Are the potential buyers ready to purchase now or are they just kicking the tires. Professional business brokers will assist in finding the right buyer for your business that are ready now.
Expertise… Consider this, are you better at running your business or selling your business? Experienced business brokers are experts at selling businesses, thus bringing qualified buyers for a quick and easy sale of your business.
Marketing… Do you have a list of qualified buyers looking for businesses right now? Experienced business brokers typically have a list of buyers looking for specific businesses. Upon listing a business, potential buyers will be immediately notified of the new listing therefore expediting the sale.
Advertising… How are you going to advertise your business for sale and who is going to write your ads? Question… Do you want potential buyers calling or coming into your business asking to see your records? Experienced business brokers will advertise your business without anyone else knowing it is for sale, and more importantly meet with the buyers off site prior to bringing them into your business.
Contracts… Who is going to draw up all the paperwork to successfully sell your business and more so protect your interests? You… “or” the Buyer… Hiring an experienced business broker will help insure all important contingencies of the transaction is addressed and handled prior to sale.
The Offer… How are you going to handle an offer if the buyers offer is to low? Experienced business brokers will help bring the buyer and seller together on price for a successful transaction.
Earnest Money… How and who is going to handle the escrow deposit and how much should you to ask for? Experienced business brokers oversee this part of the transaction.
Let’s face it one of the greatest assets most business owners have is the equity and good will built up over an extended period of time. Using professional business brokers to aid in this transaction will greatly improve the prospect of a profitable transaction.
Darren Grady is a Professional Business Broker with New Horizon Business Broker and licensed with West USA Realty. Darren has over three decades of business experience, owned and sold three of his own businesses and has worked with 100’s of clients been serving Arizona business owners since 1985.
Are you interested in getting your equity out of your business now? If you are serious about selling your business, I’m serious about selling it for you! To get more information on how to sell your business call me direct at 480-616.-8138.
Did You Know… 2018 was a record setting year for the sale of small businesses. Discover real world strategies, resources and advice you will need to successfully exit your business on your terms.
Have you ever wondered why some companies struggle, while others seem to grow effortlessly…
Chances are – those Businesses winning the game are answering the following questions better and with more clarity – from the Customers point of view…
Why is this important…
First and foremost, the market is extremely competitive and now provides your customers with greater access to information than ever before. Therefore unless your business continually educates the customers as to your dynamic value propositions, the only factors... your business will be doomed to compete solely on price.
Embracing, understanding and implementing this philosophy within your business will allow you to grow faster, increase your profitability thus allowing you to sell your business for more – when that time comes.
Furthermore, if you’re like most small business owners, your business is part of who you are so getting this right is extremely important.
As a business broker, I have had the opportunity to sit down with hundreds of business owners in an array of industries to discuss valuations as well as many other topics, and in all cases they ask… What is my business worth?
The correct answer is always… What a qualified buyer is willing to pay.
Selling Your Business for More, starts with a Strategic Exit Planning.
How prepared are you to Sell your Business? There are eight key drivers to increase your business valuation. This all starts with understanding your Business Value Score. In reviewing over 40,000 businesses we have found businesses that score over 80 have received offers that are 71% higher than average businesses.
Yes, there are different valuation methods to use as a guideline, however in the end after the dust settles and due diligence is completed, the value of the business will be based on several factors, such as location, products & services offered, management team and – most important – the value your business brings to the market-place relative to the competition.
Therefore, it should be the goal for every small business owner to generate the greatest return on investment of both your time and money. To do so, it is critical to continually exercise sound business practices as well as activities that educates your customers as to why your business delivers the best dynamic value – your only factors – of both products and services to the market-place.
Needless to say, every business owner deserves the right to learn how to increase sales, and how to multiply their profits which will easily increase the valuation of their business… Unfortunately many never take action or wait until it is to late… which in almost all cases cost them thousands or tens of thousands of dollars.
Simply Put, the right systems lead to revenue growth and increased profits, and the bottom line is this; prospective buyers will evaluate all of these factors – and more.