Selling your business - part two

Over the years you will put an enormous amount of blood, sweat and tears into your business. But you may reach a point where you decide to sell your business because you can no longer cope with the stress.

Last week we looked at the implications of selling your business by yourself, and the potential delays and complications that can be involved in the process. This week we'll discuss what to expect when employing the assistance of a business broker to sell your business.

Selling your business with a broker

Some business owners will immediately acknowledge that making such a long and complex sale is not their strong suit. When operating your business it's not uncommon for owners to enlist the help of professionals or consultants to get their tasks completed more effectively and selling your business should be no different.

Brokers are qualified professionals who can help you with a sale as they deal with this type of business on a day to day basis and are much better suited to negotiating a price and getting the process completed in a timely manner.

By employing the assistance of a broker it also allows you the time to continue running the business up to its current standard. If you decide to make the sale on your own its entirely possible that you will restrict the time you usually spend operating your business and the value of your company can be affected as a result.

In most cases a SME owner will decide to make a sale themselves so they can avoid paying any broker fees after the sale is made. However, it's important to carefully consider the qualifications of a broker and whether the price you receive on your own will be comparable to the price a broker receives. As we discussed last week, potential buyers are much more likely to bargain with private sales then they are with a professional, so it's important to take that fact into consideration when contemplating the expense of a broker fee.

Another benefit of hiring a broker is their existent networks available to promote the sale of your business. Due to the vast array of resources available to brokers, they are capable of marketing your business and engaging with more potential buyers than you will be able to do, which in turn can drive the value up and quicken the process.

You put a lot of effort and hard work into your business so the most important thing you can do is ensure you get the value you deserve when selling it. If you feel capable of selling it by yourself you can potentially save money and avoid any fees a broker will potentially charge you. But if you want to avoid the stress and save some time it's recommended you make use of all the resources available to you. By utilising your accountant, lawyer and business broker all together, you will be able to sell your business in a quick and stress free manner.

Looking to buy rather than sell? Check here for some tips.

Connect with us to receive updates throughout the day:

Like us on Facebok Follow us on Twitter

Dun and Bradstreet AustraliaTop of page Dun & Bradstreet Australia Pty Ltd 2015 | D&B Small Business    *About Us    *Sitemap    *Advertise    *Privacy    *Terms & Conditions