Unlocking New Opportunities: How Business Sellers Can Benefit From Immigrant Entrepreneurs

Posted in Sellers Articles, Visa/Immigration

Published July 27, 2023

As the global marketplace continues to expand, business sellers have a unique opportunity to tap into a large pool of motivated and ambitious buyers – immigrant entrepreneurs. 

 

 

The E2 Visa and EB-5 Visa programs offer a pathway for foreign investors to obtain residency in the United States through entrepreneurship and business ownership. While not all small businesses will meet the qualifications for these visa programs, many do. Talk to your business broker about your business to see if it would work for someone looking to fulfill the requirements for an entrepreneur visa. 

 

Utilizing the E2 and EB-5 Visa programs allows business sellers to widen their potential buyer pool significantly. Immigrant entrepreneurs seeking to relocate to the United States often prefer to invest in established businesses rather than starting from scratch. By considering visa applicants as potential buyers, sellers increase their chances of finding motivated individuals willing to invest in an existing business with a proven track record.

 

Another benefit to business sellers? Immigrant entrepreneurs participating in the E2 or EB-5 Visa programs are often more decisive when it comes to making a business purchase. As these individuals have specific visa requirements to fulfill, they are more likely to expedite the buying process to meet the necessary deadlines. This increased sense of urgency can speed up the sale and ensure a smoother transition for the seller and the business – even when taking into account delays that can happen because of the necessary bureaucracy when dealing with consulates and immigration officials. 

 

Business sellers may find that immigrant entrepreneurs are also willing to offer more favorable terms during negotiations. For these individuals, securing a successful business is often tied to their immigration status, making them more willing to meet the seller’s asking price or agree to specific terms. This mutually beneficial arrangement can lead to a win-win situation for both parties involved.

 

For small business owners looking to retire or move on to other ventures, the E2 and EB-5 Visa programs offer an ideal solution to ensure the continuity of their business. By selling to an immigrant entrepreneur, sellers can preserve their business’s legacy and ensure that their hard work and dedication continue to flourish under new ownership.

 

How? Immigrant entrepreneurs bring with them a wealth of diverse perspectives, experiences, and skills. By selling their business to someone from a different cultural background, sellers open the door to fresh ideas, innovative strategies, and potentially new international markets. Embracing diversity can lead to growth opportunities and increased competitiveness for the business in the long run.

 

Business sellers stand to gain significant benefits by considering immigrant entrepreneurs as potential buyers for their small businesses. Beyond just a financial transaction, this presents an opportunity for sellers to leave a lasting impact on their business and contribute positively to the American entrepreneurial landscape. Ask your business broker if your business would qualify a visa for the global community of business buyers.  

 

Are you thinking about selling your business and haven’t thought about the immigrant entrepreneur buyer pool? Would you like to know if your business would qualify for the E2 or EB-5 Visa programs? Ask us! Leave any questions or comments and we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

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The First Impression – Preparing The Physical Location Of Your Business For Sale

Posted in Sellers Articles

Published July 20, 2023

First impressions matter. When it comes to selling your business, the optics and condition of your physical location will play a pivotal role in making a lasting impression on potential buyers. If you are serious about selling your business you need to ensure that your physical location looks its best.

 

Here are some thoughts on how to get it ready:

 

 

The first step in preparing your physical location is to ensure it is clean, well-maintained and aesthetically pleasing. Consider investing in a thorough deep cleaning of the premises – including floors, walls, windows and all equipment. Address any necessary repairs such as leaky faucets, broken lights or chipped paint. A well-kept location reflects positively on the overall state of your business. Why?  If you’ve let aesthetic issues slide it can make buyers wonder what else you’ve ignored.

 

You might be a horizontal filer and know where everything is in the piles of junk littering the corners of your business – but when the time comes to sell you have to understand that a cluttered and disorganized space can be a major turn-off for potential buyers. Streamline your physical location by decluttering areas, removing unnecessary items and organizing storage spaces. 

 

Take some time before your business is listed to create a comprehensive inventory of all assets and equipment included in the sale. Provide detailed information about their condition, age and any warranties or service agreements. This documentation gives buyers a clear understanding of the tangible assets they will acquire, and this mental inventory of what you’re selling can help you see what needs cleaning and/or maintenance before buyers come through. 

 

Don’t forget that it’s not just the inside of the business that matters. Curb appeal can significantly impact a potential buyer’s perception of your business. Invest in exterior improvements like landscaping, fresh paint and well-maintained signage. A visually appealing exterior has the same effect that a well-maintained interior does – it tells buyers that you take good care of all aspects of your business. 

 

Getting your business’s physical location ready for sale requires careful attention to detail and a focus on presenting the space in its best light. A clean, organized and visually appealing space enhances the overall perception of your business and its potential. 

 

Have you considered selling your business and want advice on what you need to fix or replace before you list your business for sale? Do you have questions about what types of feedback buyers give after seeing physical locations for the first time? Ask us! Leave any questions or comments and we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

 

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Selling Your Business? The Benefits Of Offering Seller Financing

Posted in Sellers Articles

Published July 13, 2023

As a small business seller you might find that attracting potential buyers can be a challenging task, especially in a competitive market. Offering seller financing can be a strategic move that sets your business apart from the rest. 

 

 

Why should I offer seller financing?

 

Seller financing opens the door to a larger pool of prospective buyers. Many aspiring entrepreneurs, especially those with limited access to traditional bank loans or significant upfront capital, often seek businesses that offer financing. By providing this option, you can attract buyers who may otherwise be unable to make an all-cash purchase.

 

Offering seller financing also signals your confidence in the long-term viability and potential of your business. This vote of confidence can instill trust in buyers, making them more comfortable with their investment decision. Your willingness to finance a portion of the purchase price speaks volumes about the business’s stability and growth prospects.

 

Additionally, seller financing provides sellers with an advantage during negotiations. You can potentially command a higher selling price or better terms by offering financing. Buyers may be willing to pay a premium for the convenience of structured payments over time, which can work in your favor when closing the deal. Another bonus? As the buyer makes regular payments you receive consistent cash flow, which can be particularly beneficial if you plan to retire or invest in other ventures. This passive income can provide a safety net and financial stability after the business transfer.

 

Offering seller financing can be a savvy move for small business sellers seeking to attract buyers and secure a favorable deal. This arrangement not only expands the pool of potential buyers but also demonstrates your belief in the business’s potential and provides you with a steady income stream. Ultimately, embracing this flexible approach can empower the success of your business sale while fostering a positive and productive relationship with the new owner.

 

Are you thinking about selling your business and hadn’t considered offering seller financing? Would you like to know more about what a typical seller financed deal looks like? Ask us! Feel free to leave any questions or comments and we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

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Navigating the Storm: How Small Business Sellers Can Handle Difficult Buyer Questions

Posted in Sellers Articles

Published July 6, 2023

Selling your business might seem daunting, but it doesn’t have to be. With a bit of preparation you can face anything – even challenging questions from potential buyers.

 

Handling difficult questions with confidence and transparency is essential to build trust and ensure a successful sale.

 

Here are some valuable tips on how small business sellers can adeptly handle tough buyer questions:

 

 

Prepare, Prepare, Prepare

Anticipate potential difficult questions from buyers and prepare thorough answers in advance. Analyze the strengths and weaknesses of your business and be ready to address any concerns. A well-prepared response demonstrates your knowledge and commitment to the business, instilling confidence in the buyer.

 

Honesty & Transparency

Honesty is the best policy. If a buyer asks about any shortcomings or challenges your business faces, don’t shy away from discussing them openly. Presenting an accurate and transparent picture shows that you have nothing to hide and can help build credibility with the buyer. There is no such thing as a perfect business, so issues are always part of the deal.

 

Focus On Positives

While addressing difficult questions, don’t forget to highlight the positives of your business. Emphasize its strengths, achievements and unique selling points. Providing a balanced view that showcases the business’s potential can help offset concerns and showcase its true value.

 

Listen, Listen, Listen

Listen carefully to the buyer’s questions and concerns. Avoid interrupting or becoming defensive. Active listening allows you to understand the buyer’s perspective better, and it shows that you respect their opinions and considerations.

 

Ask Your Broker For Help

In complex situations the advice from your business broker can be immensely valuable. They can help you navigate and prepare for challenging questions, provide expert insights and ensure that your responses align with ethical standards.

 

Keep Your Composure

Dealing with difficult questions can be stressful, but it’s crucial to remain calm and composed throughout the process. Avoid getting emotional or defensive, as it can create an unfavorable impression. Remember that challenging questions are a natural part of any business transaction and handling them with professionalism is key.

 

Give Facts

Back up your answers with concrete data, such as financial records, sales figures and market research. Providing verifiable information adds credibility to your responses and reinforces the business’s performance and potential.

 

Talk About Growth

Incorporate a clear vision of future growth and expansion opportunities for the business. Buyers are often interested in a company’s potential for long-term success, so demonstrating a well-thought-out growth strategy can be a major selling point.

 

The point here is sellers should view difficult buyer questions as opportunities to showcase their business’s strengths. By preparing thoroughly, being transparent and handling inquiries with composure sellers can build trust, encourage interest and ultimately pave the way for a successful business sale. Remember, a positive and confident approach can go a long way in securing the right buyer for your small business.

 

Are you getting ready to sell your business and want to know what kinds of difficult questions a buyer might ask? Would you like to know more about navigating buyer questions during negotiations? Ask us! Please feel free to leave any questions or comments – we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

 

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Want To Sell Your Business? Why You Can’t Mentally Check Out Just Yet

Posted in Sellers Articles

Published June 22, 2023

You are ready for a new chapter in life, so you’ve listed your business for sale. Your thoughts are on a much needed vacation, sipping drinks in a beach chair – but there are good reasons to focus on your business now more than ever.

 

 

The biggest reasons?

 

It can take a long time to sell your business.

It typically takes 9 to 12 months to sell. How much damage can you do by mentally checking out for that long? Probably a lot. Sellers who mentally check out months before they’ve even found a buyer can do real damage to the bottom line. A sudden downturn in sales, losing a major account or falling profits can cause buyers to decrease their valuation of the business when the time comes to negotiate a price. A business with a disconnected seller tells a buyer that no one cares about the stability or future of the business – so why should they?

 

It might not sell.

It is an unfortunate truth of the business market that some businesses just never sell. It might be because of a lofty listing price that scares buyers off, it might be because the business is too niche, it could be because a seller has a change of heart or a change of circumstance that causes them to pull the business off the market – or it might even be because a seller has let the business slide to train-wreck levels. Whatever the reason for languishing on the market, once you’ve decided not to sell and return to ownership for the foreseeable future, you don’t want to leave yourself with a mess. You should always assume, whether you’re selling or not, that you will always be the owner of the business and maintain full responsibility until the day you hand over the keys.

 

The moral of the story? Even if you are completely burned out – you need to see your business through to the closing table. If you can push through the sale process while keeping your business in good shape, you will get a far better return on your investment than if you didn’t.


Are you a seller who feels like you need to sell now? Do you want to know how long it would take to get from listing to closing? Ask us! Leave us a comment or question here and we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

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Business Sellers – Is Your Broker Protecting Your Business? They Should

Posted in Business Broker Why & How, Sellers Articles

Published April 6, 2023

 

If you are considering selling your business you don’t just need help, you need the right help.

 

You risk way more than you should by sticking a for-sale sign in the window. The powerful misconception that any business for sale is a business on the brink of failure can mean devastating consequences if your for-sale status is revealed. You entire staff can panic and quit. Clients can cancel contracts. Your competition can see a potential sale as a weakness to be exploited. It’s all bad.

 

How do you get the word out about selling your business without exposing yourself to the downfalls of everyone knowing it’s for sale? An experienced and qualified business broker.

 

A good broker acts as a shield and a buffer. They keep the for-sale status of your business a closely guarded secret while also marketing your business to potential buyers. They verify every person is who they say they are before they are allowed any access.

 

How? They actually talk to every potential buyer.

 

They get real legal names and true physical addresses – then they look people up. They ensure the proper nondisclosure agreements (NDAs) are signed and that everyone understand the rules. They make sure the people who are looking at your business can actually afford it so no one’s time is wasted. They act as a communication buffer between you and a buyer so the deal can stay on track. 

 

It should go without saying that keeping potentially damaging information out of the wrong hands is extremely important.

 

Guess what? Not all business brokers do the job the way they should.

 

There are brokers who essentially robo-send NDAs to anyone who shoots them an email, no questions asked. They never actually speak with buyers, never verify identities or ask about available funds to by a business. These brokers don’t care about your business. They are just using your business to generate calls and emails from any and all buyers – without caring if those buyers are someone who should know about your for-sale status or listing details. 

 

Avoid these brokers by asking questions – lots of questions – before you list your business. How will this broker ensure confidentiality? Do they require buyers to identify who they are before information is disclosed? Do they actually talk to every buyer before sending them the details of your business? They should. 

 

Are you considering selling your business and want to know what measures we use to protect the confidentiality of your business and transaction? Would you like to know more about the questions we ask potential buyers? Ask us! Please leave any questions or comments and we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

 

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Why You Might Be The Reason Your Deal Falls Apart (And How To Keep It From Happening)

Posted in Buyers Articles, Sellers Articles

Published March 13, 2023

A deal falling apart is the worst, particularly when it happens as you approach the closing table. Deals don’t close for a myriad of reasons, but to prevent it from happening in yours it might help to know what the market currently shows in terms of the reasons why deals fail. The IBBA and M&A Source Market Pulse Survey from the last half of 2022 offers some insight into why deals collapse.

 

 

The report shows that for Main Street businesses ($2MM or less) the main reason deals don’t close is poor financials – which doesn’t just mean that your business accounting system consists of a box of crumpled receipts under your desk. It also means you may have misrepresented, not fully understood or embellished your numbers. Misrepresenting your numbers, whether intentional or not, is a bad look and can lead a buyer to mistrust you to the point that they no longer want to continue with the deal.

 

Across both Main Street and Lower Middle Market ($2MM to $50MM) the overall reason deals don’t close is an unrealistic seller value expectation. You may have a magic number in your head, you may have a figure you’d love to get for your business that is based on what you’ve invested over the years, you may have a written valuation from a professional that specializes in your industry – but in the reality of the business-for-sale market all of those numbers essentially mean nothing. Your business is actually worth what a buyer actually pays you for it.

 

Another major factor in the death of deals is time. The longer you make a buyer wait, the longer your business is listed, the longer the transaction takes to work it’s way through the process the more likely it is to die. People change their minds, the market fluctuates, life circumstances get in the way. The way to combat time as a killer is to be ready. Have your financials in order, prep (with your business broker’s help) the answers to commonly asked buyer questions and be proactive with buyer requests – handling them the moment they come in.

 

If you’re a business buyer, know going in that some really great businesses have records that are lackluster (in terms of organization) at best. Also understand that it can be incredibly difficult for a seller to put a number on all their years of hard work and investment. Be patient with your negotiations and ready to possibly dig through a box of receipts. 

 

The moral of this story is although some reasons your deal might fall apart are out of your hands – most reasons are absolutely within your control. Go in ready, with realistic expectations and you’ll have a far better chance of seeing that closing table.

 

Do you have a Main Street business to sell and want to know what businesses like yours have recently sold for? Would you like to know how to get your financials ready for buyer’s eyes? Do you have questions about how to negotiate with a seller who has their business listed for an unrealistic price? Ask us! Please leave any questions or comments and we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

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What’s In A Closing? An Explanation For Buyers + Sellers

Posted in Buyers Articles, Sellers Articles

Published March 6, 2023

When you start the process to buy or sell a business (especially if it’s your first time doing so) you will likely encounter some new lingo that you may or may not be familiar with. For instance, the process of buying and selling a business is referred to as a transaction, the professionals who help guide you through the process are known as business brokers and the end of the transaction is called a closing.

 

What is a closing exactly?

 

Put simply, a closing is the goal of every business-for-sale deal. It is the end point of the transaction and occurs when all parties included have signed all necessary documents, when the money has changed hands and the keys to the business are given to the new owner.

 

 

In many circumstances, this will all occur at one meeting, sometimes referred to as the closing table. All parties will arrive ready to sign and exchange the necessary funds and keys. The business brokers and business transaction attorneys will be present, and typically the funds for the sale will be in the hands of an escrow agent who will release them once the appropriate papers are signed.

 

In other transactions, the escrow agent acts as a kind of intermediary for the closing. Each party will receive and sign the necessary documents and then send them to the escrow agent. Once the agent has received everything needed for the closing from both parties, the funds in escrow will be released to the seller and the deal will then be officially closed.

 

Another aspect of the closing process usually involves a walk-through of the business and an inventory count. This is important because if equipment or inventory has changed, the selling price of the business may need to be adjusted.

 

The closing type and necessity of a walk-through will depend on the deal that has been reached and the preference of the parties involved. Ask your business broker about which type of closing you will likely see at the end of your specific transaction.

 

Are you a business buyer or seller with questions about the closing process? Would you like to know more about walk-throughs or inventory counts? Ask us! Please leave us a comment or question here and we will happily get those questions answered.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

 

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When Your Parent’s Path Isn’t Your Path – An Important Conversation For Entrepreneurial Kids

Posted in Buyers Articles, Sellers Articles

Published February 27, 2023

Sometimes parents will buy or start a business because they hope to leave their children a legacy; the legacy of multi-generational business ownership. What happens if the children of those parents dread the idea of having to take over their parents’ business? The time for that difficult conversation is always NOW. If you are the child of business owners, ask yourself these questions:

 

 

Did you grow up working in the family business, but always dreamed of doing something else?

Would you only take over the family business out of a sense of duty or guilt and not because you really want to?

Have you had this conversation with your folks?

 

If any of these questions resonate with you, then perhaps it is time for you (and your family) to take a good look at what the future of you, your family, and the business hold.

 

Some things to consider?

 

If you would only take over the family business because you feel like you are bound by a sense of duty, then that decision would probably be a mistake. Businesses are a life-encompassing affair, and as the owner your heart really needs to be invested in the success of the business if it is going to continue to succeed the way it did when your folks were running the place. We frequently see small businesses falter when the second (or third) generation takes over without the same amount of drive.

 

If you have passion in another industry, then instead of sacrificing your goals to step into the family business role the family tradition of entrepreneurship can continue by selling your parent’s business when they are ready to retire, and then take the proceeds to invest in a business venture where you will have the passion and drive to continue the family legacy.

 

These considerations are important, and the conversation needs to happen sooner rather than later.

 

If you are the parent in this situation, you need to be honest with your kids about your expectations long before it is time for you to step down as owner. Although you may love your business, your kids might not, and it would be a far more productive legacy for all your hard work if you invested in a business where your children would be willing and able to succeed.

 

Do you own a family business and are concerned that your kids don’t want to follow the same path? Are you the child of a small business owner who likes the idea of staying within a family of entrepreneurs, just in an industry where you have passion? Talk to us! Leave a comment or question, and we can help you decide what would work best for your family and your legacy.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

 

 

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Does Your Broker Care About Qualified And Informed Buyers? They Should

Posted in Business Broker Why & How, Buyers Articles, Sellers Articles

Published February 6, 2023

The process of buying and selling businesses can be a bit frustrating. There are rules and procedures in place that ensure the for-sale status and proprietary information of a business on the market only ends up in the hands of the people it should. Those rules and procedures rely on vetting potential buyers and then having buyers who are qualified sign the appropriate nondisclosure agreements (NDAs).

 

 

Here’s how it typically should look. A buyer calls a business broker and has a conversation about their goals for business ownership, the capital they have ready to invest and their past experience. The broker then uses that information to put together a few listings that look like they might match. If a listing or two catches the buyer’s eye, they sign the NDA for that business in order to find out more (like the location, basic financials, etc.). If they like what they see, they will then coordinate a conference call or face to face meeting with the business seller to ask questions. After a few of these meetings/calls a site visit might be scheduled before or after hours when the staff and customers won’t be around. If a buyer is interested they can submit a purchase offer and negotiations can begin.

 

Notice something? The sale of a business is complicated, requires a lot of steps and a lot of time. If the brokers involved are doing their job the buyers who enter this complex and time consuming process are both aware of what they’re looking for and actually able to buy the business in the end.

 

Here’s what you don’t want. A broker who will send you dozens of NDAs to sign without ever speaking to you, meaning you end up wasting your time looking at businesses that would never meet your goals. A broker who will bring a parade buyers through your business for site visits that could never afford to actually buy your business. A broker who will entertain the whims of a buyer who doesn’t have the practical experience necessary to qualify for a SBA loan or that your commercial landlord would immediately reject.

 

A broker who asks the right questions keeps a deal on track and keeps from wasting everyone’s time. You want a broker who actually talks to buyers. You want to be (if you’re a buyer) and want to work with (if you’re a seller) a buyer who understands the process, knows what businesses will actually fit with their goals and has the money necessary to get a deal to closing. 

 

The message here is you need to ask any broker you work with questions and you need to keep an eye out for red flags. If you’re a buyer a broker should be asking you LOTS of questions before they send you any NDA. If you’re a seller your broker should only be bringing you buyers who are qualified and would be successful future owners of your business. 

 

Are you looking at businesses to buy and haven’t had a broker yet who asked you a single question? Are you considering selling your business and want to know what type of buyer would be a good for your business? Ask us! Leave any questions or comments and we would be happy to help.

 

 

 

Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

 

 

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Michael Monnot

941.518.7138
Mike@InfinityBusinessBrokers.com

9040 Town Center Parkway
Lakewood Ranch, FL 34202



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