Business brokers in San Diego do more than just help you connect with the right buyers when selling your company. The right broker will help manage your expectations, help with business valuation and generally offer you guidance throughout the sale. However, not every promising broker out there is worth your time. When it comes to the search for a great broker, it pays to learn of the things a broker will not tell you.
His dark past
Nobody in their right mind will be happy to tell potential clients of their bad past. If a business broker in San Diegohas ever been involved in a lawsuit, he will be reluctant to disclose this information to you. It is your duty as the new client to learn of the broker’s past and make sure you can stomach that before hiring.
A great way of researching a broker is listening to what his recent clients have to say about him. What are they most happy about and what disappoint them? Strive to get answers to this question. Online reviews will further let you know whether the broker is worth considering or not. The rule of thumb here is that if there are too many negative reviews, the broker will not be as reliable as he promises.
Average cost of working with a broker
There are no set rules on how much business brokers in San Diego should charge their clients. Their commission may be as low as 5% or more than 20%. To help them charge a price that favors them, they will not disclose information on the average cost of working with them. Taking time to look at the rates charged by other brokers will give you a rough idea on how much you should spend on a broker. You must also not be afraid of negotiating.
How long it took him to sell the last business
If it took too long for the business broker in San Diego to sell the business he last worked on, he will be reluctant to give you that information. It is up to you to ask him questions on how long it takes for him to close a deal. If it takes too long or if he has never sold a business in his career as a business broker, you should probably look for a different broker.
How hard it is to sell
Last but not least, to lure you in, some San Diego business brokers will tell you that selling a business is easy. This is never true. It takes months or even years to sell a business to the right buyer. This says a lot about how difficult the process is. Make sure the broker lets you know how he will market your business, maintain confidentiality and help you close fast.
These are all points most business brokers in San Diego will not tell. The list is, however, not conclusive. You need to research a broker keenly before committing to his services. Make sure you are comfortable entrusting him with your business.