Many people assume that business brokers and real estate agents are essentially the same thing, one just sells property and the other just sells businesses. Nothing could be farther from the truth.
If you are looking to sell your business, not understanding this difference could mean trouble for your business sale. These troubles arise because some who may call themselves business brokers are in fact just real estate agents giving themselves another title to diversify their work.
To put it simply, the only thing that business brokers and real estate agents have in common is they both work for commissions. That’s it. Essentially everything else is different.
For a real estate agent, selling a home or a piece of property means the more exposure, the better. They work hard to put their listings in front of as many prospective buyers as possible. Marketing techniques include listing the property on the MLS, which is basically available for anyone to search. They put a sign in the front yard, put photos in local print and online publications – basically telling the world where and for how much their property is for sale.
For a business broker, the marketing techniques must be very different. Businesses need one very important thing while they are trying to sell. They need confidentiality. Marketing a business the same way you would market a house could be disastrous for the business. They could lose employees, vendor contracts, and even clients as people tend to pull away from a business if they know it is going to change hands. Your customers, vendors and staff having a fear of the unknown will cause problems for your bottom line.
Only a business broker will be able to put together the best marketing package, ensure that confidentiality is maintained, help you with everything from licensing to leases, and act as a buffer between you and the buyer during any negotiations.
Make sure you hire the right help when the time comes to sell your business. Use a qualified and professional business broker.
Are you ready to sell your business, but have questions about which professional to use? Please leave us a comment or question here and we will be happy to answer any questions you may have about what a business broker can do for you.