Do you need to sell your business? Or are you looking to buy another business, but don’t know how to get started? If so, you may be considering hiring a commercial business broker, someone who can help negotiate deals between buyers and sellers so that both parties have some idea of what the transaction will cost them upfront. Scroll to know more!
What is a business broker?
Business brokers typically charge 5-10% off the sale price, but they are also paid on commission (which is usually 15% -20% of the sale price), so they have an incentive to get your business sold. A good business broker will help you set realistic expectations, line up buyers, negotiate contracts, and even act as an intermediary during negotiations. If you're thinking about selling your business, you should hire a broker. Not sure? Here are the benefits!
Why use a commercial business broker?
In many areas, commercial real estate purchases are fairly common. However, these purchases can be tricky for people with little to no experience.
- A commercial business broker makes sure that both parties involved in a transaction are treated fairly by creating an agreement that outlines what each party is responsible for. This allows everyone involved to feel confident about their role and investment in a transaction.
- A business broker helps bring all parties together so you can focus on running your company instead of finding new office space.
- You don’t have to go through lengthy phone calls or meetings with individual businesses or property owners – especially if you are shopping for commercial real estate in an area where there is significant demand. This can save you valuable time.
- In addition, some business brokers work with lenders that can give you competitive financing terms for buying commercial real estate. And if your business does not meet conventional lending standards, many brokers will be able to find creative solutions for securing financing for your business acquisition.
Conclusion
Many small business owners make it through their first few years in business by learning everything they can along the way, but once they reach a certain level, they’re forced to seek outside help. When you’re ready to take your company to the next level, you should consider hiring a commercial business broker. Before you do so, it’s critical that you research what brokers are available in your area and identify which ones have experience working with businesses like yours.