When approaching a business broker for dentists San Diego trusts, the question most people have is on how much it will cost to sell their clinic. This is an important question since it helps you know how much you can expect to pocket at the end of the day. However, how much you end up spending will depend on the broker you are working with. That is why in this post, we will be focusing on the amount you will pay to a business broker.
A business broker for dentists San Diego depends on is not the only professional you will need. It is good to understand that. You will need other professionals. These professionals include tax advisors, lawyers, financial advisors, a notary and other crucial figures. The good thing, nonetheless, is some business brokers have these professionals in their employ. This means you only pay a single fee and the broker will find all the experts you need and pay them on your behalf.
To demonstrate commitment in the sale of your business, some brokers will require that you pay a retainer. This is a fixed fee that is charged regardless of the outcome of the sale. Brokers know when a business owner starts the sale process without spending a single penny, they will not have embraced the sale. As a result, they will be tempted to pull out of the sale at any time. To avoid wasting time, brokers charge a non-refundable fee. In addition to ensuring commitment, the fee is meant to take care of the initial expenses the broker will incur when getting your business ready for sale.
While it is not uncommon to be charged a retainer or fixed fee, it is good to note that not all brokers will deliver on their promise. To avoid losing money, only pay a retainer to a broker with a great reputation. The broker must have a proven track record and come highly recommended. You also need to get everything in writing before paying anything. Keep in mind that there are brokers who will not charge you anything until the sale is closed.
These are clearly understood and accepted fees by clients. When you hire a business broker in San Diego to help with the sale of your dental clinic, you will have to pay them a success fee. This is usually a commission. Upon the completion of the sale, the broker will be paid a percentage of the sale price. Typically, the rate ranges from 1 to 10 percent for small transaction. It can be higher or lower. Make sure you negotiate a better rate.