This article are provided for information purposes only, and are not intended as legal advice.


Business brokers – how do you know if you found the right business broker?

February 6th, 2009

If you think that the business broker is magically going to find you the perfect business, you are wrong.  The business broker will find you a business which you describe.  You have to provide them guidance whether it relates to price, type of business (i.e. retail vs manufacturing, food vs technical products) and location etc.  The business broker will introduce you to businesses which fit the criteria which you provided.  If you provided the wrong description, you cannot blame anyone for finding the wrong business but yourself. 

 

It is very hard to find the right business.  You have limited exposure to the types of businesses which operate.  The number of businesses which are for sale at any given time and are within your budget can  restrict your choice.  The wrong thing to do is say, I am tired I of looking for a business, I can’t find what I am looking for so I will settle for this one because it is available.  This is absolutely the wrong approach.  You will not enjoy the business, you will not put your heart and soul into the business and it will show.  You may lose customers because of your attitude.  When they have all left because you are miserable, you will say, I bought the wrong business.  It can be frustrating looking for a business but do not pick one that is alright, pick one which will motivate you.  

 

To find the needle in the haystack is time consuming but if you look long enough, you will eventually find that needle.  Talk to multiple business brokers, do not rely on only one person looking for the needle in the haystack.  Talk to as many people as possible.  The more effort you put into to finding a business, the faster you will find the perfect match. Talk to business brokers, register as an investor so that someone who is contemplating selling a business finds a potential buyer.  That investor listing may be enough to get the seller of the business to  finally get motivated to put the company up for sale.  If the owner has found a potential buyer, the process to sell the business may be very short.  It is like when you sell your house, you do not want it to be up for sale for a long time, the same holds for a business.  The quicker the sale, the happier the seller.


Filed under: Business brokers,Buy a business,Sell a business — Gary Landa @ 1:16 pm


1 Comment »


  1. If you are a buyer dealing with a business broker or looking at businesses on your own, it is extremely important to listen to what business professionals have to say, and more importantly, listen to what the market is telling you. The most successful buyers that we have dealt with are the ones that are open minded to opportunities, flexible in what an “ideal business acquisition” is, open to taking a calculated risk and perhaps most importantly, willing to accept the reality of the market place and make the best out of it rather than live in a bubble of what their ideal business is. Also, very important to stress – none of the savvy and successful buyers mentioned above are looking for the “perfect” or “flawless” business, rather they are tirelessly and meticulously working with their business intermediary on learning as much as possible about a business opportunity that suits their return and lifestyle requirements and capabilities.

    Comment by Toronto Business Broker — October 24, 2009 @ 5:21 pm


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