When you decide to sell your business, you can either sell the business yourself or hire a business broker. Where do you find one and how do you know that he/she is good? Unlike real estate brokers, a business broker often negotiates the sale between a buyer and seller and does not have another business broker involved in the sale of the business. You can look in the phone book, the business broker directory on websites or by referrals if you know that someone has used a broker in the past.
You can find a broker who is trying to get your listing and will tell you what you want to here and there are other brokers who will paint a realistic picture of your business, the price etc which may be below what you would like for the business. Do you go to the broker to says that they will list at the highest price? You take your chances if the asking price is not realistic. Eventually, the business broker will recommend for you to lower your price. If your business has been listed for a long time and many people know that it has been for sale for a long time, many people my not revisit your business and monitor if the selling price is reduced.
Many people who want to buy a business are impatient and want to buy a business immediately. If yours is not the right business, they will look at others. Many buyers do not know the type of business that they want to purchase. They are open to ideas by seeing what is out there. They will look at the asking price of your business and compare that to other businesses that are for sale. If you are reasonably priced, they will look at your business, if it is overstated, they will look at other opportunities. I hear from people repeatedly, the businesses that are for sale are stale and have been listed for a long time.
Listen to the business broker. He may tell you that your asking price is too expensive. His approach may be different than what you originally thought. Talk to many business brokers and if one is telling you a that he/she would list your business at a much higher price than others, ask why? Why is one business broker so different than the others? Investigate those reasons first before deciding on the broker who will list your business at the highest asking price. In the end, if you have to reduce the price because the original asking price was too high, you have lost valuable time and many buyers who already looked at your business but continued to look for other opportunities.