My Secret to Selling a Business
Do you know what drives business sales?
Marketing, proper pricing, the right presentation, the network of the broker, finding qualified buyers, proper documentation… I can go over a plethora or reasons but I want to focus on the marketing package that a broker SHOULD prepare but many do not.
As we all know the importance of a first impression and unfortunately the marketing materials we get from other listing brokers is a simple P&L, tax return or something similar but most buyers do not know how to read and interpret them properly and most businesses P&L or tax returns do not reflect true income such as the typical add backs like depreciation, interest, many personal items like health insurance, cell phones, personal vehicles…but that buyer is going to look at the bottom line and usually that does not look the best.
Buyers today want real information and I know what buyers are asking for.
1. Recasted Financials: Let me properly recast your financials and show the true benefits of the business. I n the past I have found a business that paid for all personal airplane fuel, I have properly amortized large expenses to increase revenues and many more examples
2. Benchmark Data: I will actually research the industry to provide market data about the industry to a buyer to make sure they are comfortable. This often assists in weeding out many of the bad businesses so that we can get a properly educated and focused buyer.
3. SWOT (Strengths – Weaknesses – Opportunities – Threats): This is a true key to selling a business. It is important to make sure a buyer know the flaws of a business to understand the opportunity to grow the business.
4. Trends: Another important part in selling a business is providing the positive trends in either the business or the industry
5. Expert Comments: I will provide expert comments and recommendations from industry experts and insiders to back up my information
6. Media: Most of our buyers are from other states or even other countries. Every package I put together includes some type of media which allows us to direct buyers to reviews, articles, video or pictures. It is shocking how many brokers do not even include simple pictures.
7. Sellers Duties: You may be surprised but most brokers do not know the actual duties of the seller and this is very important to obtain qualified buyers and not to waste the sellers time.
8. Employees: Many buyers are coming here and bringing family members. Knowing the employees pay and duties are another great way to sell a business as we will incorporate the family in the opportunity and show a bigger bottom line.
9. Website: To many brokers do not even have their listings on their own site. If this minimum duty cannot be accomplished would you want to list your business with them?
Again this is just one small part of the overall process of selling a business but picking the proper broker to sell your business can save you time, money and frustration. Picking me as one of the top business brokers in Florida will be one of the best decisions you will make.
I do not sell a business by just putting it on a website, I have streamlined my systems, accumulated an extremely large database and developed my own technologies to sell businesses.
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