A business broker can be the mediator between the buyer and seller and can help negotiate a middle ground between both sides. You may need the seller to help train you after the sale is completed therefore if you are too aggressive in the negotiations, you may upset the seller. They in turn will not be too helpful after the sale is completed. If a business broker is the mediator, the seller will not know who aggressive you are.
Remember, a good sale happens when the buyer believes that he has paid a premium for the business and the seller believes he/she sold the business for too little. Both are happy but both believe that they could have done better in the negotiations. If you accomplish this, then you truly found the fair market value (“FMV”) of the business for sale. Remember, FMV is the price that a wiling buyer and willing seller have agreed upon. It is not the asking price, it is not the price that the owner thinks he needs to retire, it is the agreed upon price between the seller and an independent third party.
The business broker will help prepare the business for sale, creating a marketing package for the seller and will help communicate information between buyer and seller and help make sure documents are available in the due diligence process. Not all brokers are the same, some business brokers may provide more or less services than the other. If you find a business broker, ask him how he operates and what is included in his/her service.