 | Steve Fischer is the president of Advantage Business Group in Wichita, an owner in the VR Business Brokers network of offices. With national and global reach, VR is one of the nation’s premier networks of professional business intermediaries. A life-long Kansan and previous business owner, Steve’s office exemplifies the service and professionalism that a business brokerage provides to the buyer and seller in today’s market. To learn more, visit www.VRplains.com or www.VRBB.com. Steve can be reached by phone at 316-262-8722. |
Business
2010-01-01 15:32:00
Differences between business brokers
Answer: Business brokers and the offices they represent are not all the same. Some offices or brokers may represent businesses across a broad range of industries and price ranges; others focus on a specific market segment. Another may focus on businesses that will sell at prices in excess of one, five or ten million dollars. Some charge fees for consultation and valuation services, others do not. Some are local, some are not. All can provide a valuable service to their clients.
To the business owner the broker becomes a ‘silent’ partner. It is essential to be comfortable with this person. The broker’s background, qualifications, office, affiliations, past performance, and current operating practices are critical. While credentials, initials behind a name and titles are good, they can also be misleading. The background, professionalism, execution and results are what matter the most.
Do not be afraid to interview a broker before signing a listing agreement. In addition to asking about previous individual and office transactions, some good questions to ask a business broker include, how are you qualified to sell my business? How will you determine the value of my business? How will you be marketing my business? What are you going to do to ensure that everything stays confidential? How do you determine if a person is qualified to view my business? What if you find a buyer and I don’t like them? What other professionals are you networked with?
Ultimately, your decision will likely be based on your level of comfort with the individual broker. While most brokers are part of larger organizations, affiliations and associations, the chain is only as strong as the weakest link. You need to be sure that your brokerage contact is not a weak link. Remember, this person will become your silent partner; you want them to take care of you. You want them to represent you and your business with the same pride and professionalism upon which you have built your business.
The decision to sell is one of the biggest decisions a business owner can make. Doing your homework regarding the person or firm that will represent you is critical.
