guarantees a number of things when it comes to the sale of a business. He will guarantee that your business is seen by the best buyers; that you get the best possible price for it; that you close the deal fast; that you don’t develop enmity with the buyer; that you don’t get distracted from effectively running your business during the sale among other things. All in all, before you start working with a business broker, it is important that you ask the following questions.
What are the qualifications of the broker?
The last thing you want is to lay the fate of your business in the hands of an incompetent business broker Orange County. A qualified business broker should be certified, be a member of the International Business Brokers Association and be experience as a business broker. The best broker will also carry a real estate license.
What is his recent track record?
The reputation of a business broker in Orange County counts. It is what will help him get the best deals on the market for you. Has he sold your type and size of business in the last year? On average, how long do his listings stay on the market before concluding the sale? How many site listings does he represent? These questions will give you an idea of what to expect from the broker and also let you know if he is a major player in brokerage.
What are recent clients saying about him?
Do not hire a business broker Orange County that doesn’t have a website. The web presence of a broker communicates a lot about the type of service he offers. For example, if he has no website, there is a good chance he is not a legitimate broker. It is the website of the broker that will educate you more about the type of services he offers as well as what recent clients are saying about him. Search for testimonials from recent clients and ask the broker to provide names of the clients he has worked with in the last six months.
How much does he charge?
Business brokers charge for their services in many ways. Typically, they will charge a down payment which will be followed by the full payment plus commission upon the completion of the sale. Stay away from a business broker in Orange County that asks for a full payment and commission upfront. Such brokers will leave you stranded. Most great brokers will charge a success fee. This is commission based charge. It is based on the price paid at the closing of the deal. The commission is typically 10%. Always get to understand the fees involved before you hire a broker.
How does the broker work?
Last but not least, you need to understand how the business broker Orange County works. How does he determine the asking price? Does he assist with financing? What will be your role during the transaction?