If you're in the process of selling your Middle Tennessee or Franklin Business, you likely have thought to yourself "Are business brokers worth it"? It's a great question and we came across this video to share an answer with you.
For more information about a business broker in Franklin, you can find more information here: HPX Advisors - Serving Franklin, Murfreesboro and Brentwood Tennessee!
Don't have sound available? Here's the full transcript from this video!
Hello, everyone. My name is Aaron Muller. I'm with Advantage Commercial Brokers and we help people buy and sell businesses in Washington State. I wanted to talk about a question I get asked quite often, it's do I sell my business myself or do I hire a business broker. Obviously I'm going to sound biased by telling you you should always hire a business broker, but I have some valid reasons why I recommend this.
For one thing selling a business is not like you're going to sell a house. Sticking a sign up in front of a business does not work because of confidentiality so that's just not going to play a part of selling that business. So you're going to want to hire someone that can keep all the confidentiality and market this thing properly. Also, finding comparables on your business to the value of what it is is almost impossible out there. There's not a neighborhood that 20 businesses sold in that are like yours so finding a business broker to help you with that valuation process is very important.
Let's go over the eight things that, the eight help items that a business broker can bring to the table. Number one valuation. Price that business correctly. Just like I said in one of my old videos, make sure that you have it priced properly and not too high otherwise people are going to look past it and not buy it. Help number two maintaining confidentiality, making sure that all those buyers out there aren't talking about your business and your employees don't find out you're for sale.
Help number three is going to be marketing that business. The business broker has a lot of contacts and databases that they can go through to find buyers is how they package that business up to represent it to all those people. That's what the broker is going to bring to the table. Also, help number four negotiations with the buyer. There's a process when it comes to negotiation. It's challenging. It gets emotional. Leave it up to the broker to deal with all those emotions and help that process go a little bit smoother. Then also with the buyer's maybe CPA or the buyer's attorney. Those people can be a little bit challenging sometimes. We just want to make sure you navigate that properly and that's what the broker helps with.
For help number five just helping the buyer with financing, allowing them the best opportunity to get that loan from the bank and finding as many banks as possible that potentially will do that deal because business loans are very difficult and a lot of times banks just don't want to do them. So you need someone on your side to kind of negotiate that with that bank and make that go smooth. Help number six is going to be let's say you're buying a franchise, just working with a franchisor. They can be challenging navigating through that process.
Also, help number seven would be working with the landlord. There's an assignment that needs to be done a lot of time, but sometimes even you have to negotiate a new lease. In my case, I help my buyers do that negotiating. I don't charge them anything extra. I do the process of all the things that need to be done to help that landlord get it done quick because they're going to drag their feet also in that process. Lastly, help number eight closing table. This can be a real nightmare. People think they get to the closing table, we're all done. I had a situation where a buyer and a seller both brought their attorneys. I made sure that those attorneys didn't create such a problem that that deal never closed. I was able to kind of keep everybody at bay and make that deal go to closing. It's always important that your broker goes to the closing because those deals can fall apart just as easy as they came together.
If you're looking at hiring a broker just remember soemthing: we're the experts at selling businesses. You're an expert in your business. Make sure that you nderstand that. Stick to running your business. Hire us. We'll help you get the most for your business. If you have any other questions or want to know anymore about buying or selling a business, please visit our website at acbrokersinc.com. Thank you very much.