How to select a Business Broker?

<h1>How to select a Business Broker?</h1>Author: <a title="Anne Brown" href="http://www.articlesbase.com/authors/anne-brown/144308.htm">Anne Brown</a> If you are a businessperson thinking of selling your company, the business broker you decide to work with is an important decision to make.  Your relationship with this professional may last several months so it is important that you choose wisely.  This article will go over some of the main criteria to think about before you finally select the business broker to work with. Be honest with the business broker Discuss what your goals and objectives are.  This will assist the business intermediary immensely during the planning phase.  If you have a time constraint or a pricing issue that is important to you, share it with the business brokerage early in the process. Ask the broker how they will market your business Selling a business is not like selling real estate.  If a broker simply expect to list your business for sale on MLS and not do much else, then you’re not dealing with a professional with much experience in selling businesses Ask the business broker to assist you in pricing the business Ask them to defend the price they think your business will sell for and how they come to that figure.  Ask them to work with your chartered accountant during the valuation process.  If they resist or say that this is not standard then you should deal with someone else. Is the broker knowledgeable about your business or industry Some business brokers will gladly list any business that comes their way.  As a business owner though you should ask the intermediary if they are familiar with your industry and how they think they can go about selling your business. How will the broker keep the business sale confidential The majority of businesses that get listed for sale prefer to stay discreet so as to not alert staff, vendors or customers that the business is selling.  Ask the business broker how they will keep the sale confidential.  Ensure that they have a formal confidentiality agreement signed by all prospective business buyers before they release any sensitive information about the business. Ensure that they return your phone calls! This seems fairly straightforward but you would be surprised at the number of business brokerage ‘professionals’ who are terrible at getting back to clients and prospective buyers.  Timing is everything in a business sale.  Please ensure the business brokerage you work with is prompt and consistent. Work with someone that has credentials When you decide to sell your business you should try to work with someone who has a combination of experience and credentials in selling businesses.  Business brokerage can be a complicated profession so you want to choose someone that knows their craft. Work with a broker that knows the market If you are from Toronto or southern Ontario, Canada then you should deal with a business broker that covers that marketplace. Work with a business broker that can help to prepare your business for sale Sometimes businesses need some polish before they are formally listed for sale.  A reputable <a href="http://www.businesses-buysell.com/">business broker</a> will give you valuable insight on some things you can do to make your business more salable.About the Author: Choosing a <a href="http://www.businesses-buysell.com/how-to-select-broker.html">business broker</a> is an important decision. Contact our <a href="http://www.businesses-buysell.com/">business brokerage</a> to help guide you through the process of how to buy or sell a business. We serve southern Ontario from Toronto to Hamilton.Article Source: <a href="http://www.articlesbase.com/">ArticlesBase.com</a> - <a href="http://www.articlesbase.com/business-articles/how-to-select-a-business-broker-1466830.html" title="How to select a Business Broker?">How to select a Business Broker?</a>

If you are a businessperson thinking of selling your company, the business broker you decide to work with is an important decision to make. Your relationship with this professional may last several months so it is important that you choose wisely. This article will go over some of the main criteria to think about before you finally select the business broker to work with.

Be honest with the business broker
Discuss what your goals and objectives are. This will assist the business intermediary immensely during the planning phase. If you have a time constraint or a pricing issue that is important to you, share it with the business brokerage early in the process.

Ask the broker how they will market your business
Selling a business is not like selling real estate. If a broker simply expect to list your business for sale on MLS and not do much else, then you’re not dealing with a professional with much experience in selling businesses

Ask the business broker to assist you in pricing the business
Ask them to defend the price they think your business will sell for and how they come to that figure. Ask them to work with your chartered accountant during the valuation process. If they resist or say that this is not standard then you should deal with someone else.

Is the broker knowledgeable about your business or industry
Some business brokers will gladly list any business that comes their way. As a business owner though you should ask the intermediary if they are familiar with your industry and how they think they can go about selling your business.

How will the broker keep the business sale confidential
The majority of businesses that get listed for sale prefer to stay discreet so as to not alert staff, vendors or customers that the business is selling. Ask the business broker how they will keep the sale confidential. Ensure that they have a formal confidentiality agreement signed by all prospective business buyers before they release any sensitive information about the business.

Ensure that they return your phone calls!
This seems fairly straightforward but you would be surprised at the number of business brokerage ‘professionals’ who are terrible at getting back to clients and prospective buyers. Timing is everything in a business sale. Please ensure the business brokerage you work with is prompt and consistent.

Work with someone that has credentials
When you decide to sell your business you should try to work with someone who has a combination of experience and credentials in selling businesses. Business brokerage can be a complicated profession so you want to choose someone that knows their craft.

Work with a broker that knows the market
If you are from Toronto or southern Ontario, Canada then you should deal with a business broker that covers that marketplace.

Work with a business broker that can help to prepare your business for sale
Sometimes businesses need some polish before they are formally listed for sale. A reputable business broker will give you valuable insight on some things you can do to make your business more salable.

Choosing a business broker is an important decision. Contact our business brokerage to help guide you through the process of how to buy or sell a business. We serve southern Ontario from Toronto to Hamilton.

Rate this Article:

0 / 5 stars - 0 vote(s)

Re-Publish

Article Source: http://www.articlesbase.com/business-articles/how-to-select-a-business-broker-1466830.html

Article Tags: business broker ontario

Related Videos
Related Articles
Ask / Related Q&A

Play

What is a Broker

Play

How to Get a Health Insurance Plan without an Insurance Broker

Play

Learn about Selecting a Real Estate Agent

Play

Learn about Buying a Home

Play

How to Buy a Business

Latest Business Articles
More from Anne Brown

Forex Software For Mac

By: Lindsy B. Emery | 18/12/2009
forex software for mac

Forex Software Ratings

By: Lindsy B. Emery | 18/12/2009
forex software ratings

Forex Software Review

By: Lindsy B. Emery | 18/12/2009
forex software review

Forex Software Torrent

By: Lindsy B. Emery | 18/12/2009
forex software torrent

Forex Exchange Rates

By: Lindsy B. Emery | 18/12/2009
forex exchange rates

Forex Economic Calendar 2009

By: Lindsy B. Emery | 18/12/2009
forex economic calendar 2009

Forex Daily Pivot Points

By: Lindsy B. Emery | 18/12/2009
forex daily pivot points

Forex Daily Signals

By: Lindsy B. Emery | 18/12/2009
forex daily signals

Why Business brokers leave their profession

By: Anne Brown | 01/12/2009 | Business
The field of business brokerage has many positive attribute that attracts many would be ‘business brokers’ to the profession. The potential earnings are lucrative, the hours are flexible and the ability to meet many interesting people and companies can be quite stimulating.

Business Brokers and Geographic Market

By: Anne Brown | 23/11/2009 | Business
Often, people will confuse the profession of business brokerage with the sale of real estate. Although there are similarities on the surface, there are in fact many differences. Business brokers usually serve a much broader geography since, unlike real estate; a business broker needs to understand a company along its industry and valuation parameters.

How to select a Business Broker?

By: Anne Brown | 17/11/2009 | Business
If you are a businessperson thinking of selling your company, the business broker you decide to work with is an important decision to make. Your relationship with this professional may last several months so it is important that you choose wisely. This article will go over some of the main criteria to think about before you finally select the business broker to work with.

Career as a Business Broker

By: Anne Brown | 09/11/2009 | Business
If you are interested in starting a career as a business broker in Canada there are some very exciting attributes to the profession. There are also some realities that you must understand before embarking on a career in business brokerage.

Net Asset & Goodwill Valuation Principles for Selling a Small Business

By: Anne Brown | 31/10/2009 | Business
When you consider selling a small business, there are a few ‘typical’ ways in which a small business can be valued. One way is to determine the net vale of the business’s tangible assets such as equipment, machinery, inventory, furniture, etc. Another ‘typical’ way a small business is valued is on the basis of a multiple of Seller’s Discretionary Earnings (SDE).

Knowing when to accept a business sale

By: Anne Brown | 26/10/2009 | Business
It has been said many times that selling a business is an emotional process. As an owner, you must know well in advance what is important to you and also be somewhat flexible on deal terms if you want to successfully sell your company. When an offer to purchase is submitted for your company, you may very well be disappointed with the first offer. As the owner, it is your prerogative to accept, reject or counter on any offer you receive. No matter how you proceed though, it is important to

The Challenge in Finding Good Businesses for Sale

By: Anne Brown | 20/10/2009 | Business
As a business buyer, it may seem extremely challenging to find good & profitable businesses for sale. The business re-sale marketplace is not as liquid or robust as the MLS system for selling real estate and this can be frustrating. Below is a summary of why it may be difficult to find a good business for sale in the Toronto, Ontario region and what you can do to increase your chances of finding one.