Are you ready to sell your business? As a business owner, you have got to prepare your business for sale on the market if you want it to sell quickly and for the right price. In this video, owner and CEO of Vested Business Brokers discusses the importance of preparing a business for sale…
Vested Business Brokers helps people buy and sell profitable privately held businesses.
We are entrepreneurs and we know what the kind of effort it takes to grow a business and we know what you had to do in terms of time, effort and personal sacrifice to make your business the profitable income producer it is today.
But now you’re in a position in your life where you want to sell this business you’ve spent so much time and effort to build.
So, how are you going to do this? How are you going to find someone to buy your business and pay you an amount of money that makes all of your toil worthwhile?
This is where we come in…
At Vested Business Brokers we have successfully closed more than 1000 transactions. Our goal is to bring buyers and sellers together and ultimately we look to achieve an outcome which all parties can feel good about.
We like to say that there are no stupid buyers and no stupid sellers. All parties want to get a great deal…and we help each party feel that way in the end.
Preparing Your Business For Sale…
It all begins here. As a seller, you have got to prepare your business for sale on the market. You simply will NOT get what your business is worth if you do not prepare for sale properly.
What does this mean?
Call us today to speak to one of our Vested Business Brokers who is specifically trained by us to help you through the complete process of selling your business.
You can reach Vested Business Brokers at: (877) 735-5224
One of the advantages of engaging Vested Business Brokers to help you sell your business is the fact that Vested offers “non-exclusive” listing agreements to their “seller” clients. In this video, Nathan Goldstein, owner and CEO of Vested Business Brokers discusses the benefits of using a non-exclusive listing agreement when you’re trying to sell your business…
This is Nathan Goldstein of Vested Business Brokers. We have helped people buy, grow, and sell profitable, privately owned businesses since 2001 and we have closed more than 1000 transactions over that period of time.
Okay…so you’re ready to sell your business, right? You’ve been bombarded by companies sending you letters telling you how wonderful they are…
Then you go check them out on the Internet and you discover that these companies despite talking a good game have only 20 listings in their portfolio…
What does this mean? It probably means that if you use their services you’ll be waiting a long time to sell you business.
Why? Because qualified buyers go to the firms with the most amount of listings and sellers go to the firms with the most amount of buyers.
Is that fair? Who cares! You want to sell you business, right?
At Vested Business Brokers we have approximately 120,000 active buyers in our database. And our website, Vestedbb.com, get about 1000 hits a day (mostly unique hits) from people who find us online because they are looking for great business listings.
Today, I’d like to talk to you about “exclusive” and “non-exclusive” listing agreements.
When you list with a broker under an “exclusive” agreement you are in effect telling that broker that he will be paid upon the sale of your business whether or not he is the one who brings you the buyer who ultimately buys your business.
Under a “non-exclusive” listing agreement the broker only get paid a commission if he brings you the buyer who ultimately buys your business.
At Vested we offer non-exclusive listing agreements to all of our seller clients. This way if we help you by find you the buyer who eventually buys your business then we “earn” a commission fee.
However, under a non-exclusive agreement you can sell the business on you own, and we would NOT earn a fee.
The non-exclusive agreement give you, the seller, the most flexibility and in our opinion, this is the fairest way to proceed with our seller clients.
Call us for a free business evaluation at (877) 735-5224.
So…you’re ready to sell your business? Great! Maybe you’re looking to retire, or perhaps you’re just looking to get into a new opportunity. Regardless of the reason for wanting to sell your business, one thing remains true: You want to sell your business for a decent profit. In this video, Nathan Goldstein, owner and CEO of Vested Business Brokers discusses a step-by-step plan for preparing to sell your business.
At Vested Business Brokers we helped people buy, grow, and sell profitable, privately owned businesses since 2001 and we’ve closed more than 1000 transaction…so we know what it takes to sell your business.
1) You’re going to give us your financial information. This will be YOUR representation of the financial details of your business.
2) We’re going to place your business listing within our system which will expose your business to more than 100,000 people in our database who are looking to buy a profitable business. The buyers will be notified by email that your business in now in our system.
Now, it’s important for you to put yourself in the buyer’s shoes for a moment. These folks have work hard to acquire the capital to invest in a profitable business and they’re only going to buy a business that “makes sense”.
In order to determine if a deal makes sense buyers will use the services of lawyers and accountants to review all of your business financial information.
I hope this helps to underscore the importance of being honest. You will NOT sell your business if you artificially inflate your numbers, or if you offer your business for an amount of money that is unrealistic considering your annual net profits.
At Vested we will help you put your business on the market for the right price. The goal is to achieve a “win-win” situation where both parties leave the closing table feeling very good about the transaction.
Call us at (877) 735-5224 to get your business sold.
What is the most important aspect of selling a business? Clearly, there’s nothing more important in the transaction than confidentiality. In this video, Vested Business Brokers owner and CEO, Nathan Goldstein, discusses the importance of confidentiality and how to protect it with a strong confidentiality agreement…
Whether selling your business on your own, or with the assistance of a business broker (as we strongly suggest) you must make sure that you have a strong confidentiality agreement in place.
Why? Because you never know who you’re speaking to. You want to make sure that whoever you are showing your business to can’t turn around, steal your business secrets, and use your business processes and procedures against you. This would be akin to telling the thief the combination of the safe…and you never want to put yourself in that position.
At Vested Business Brokers, we have procedures that every single buyer must follow for confidentiality reasons. We handle it in a very, very professional way. We qualify the buyer, and we make sure that the buyer signs the confidentiality agreement before anything else.
If you’re an entrepreneur, and you’re looking to sell your business, you should definitely be scared or concerned about talking to people without the appropriate confidentiality agreements. And many times on deals that I’ve represented in the past, if the client wants more information about the processes and procedures that are broader than our regular confidentiality agreement, we might ask them to sign a specific confidentiality agreement to get more information relating to that business.
So, here’s the “take home” lesson… Protect your confidentiality with a strong confidentiality agreement.
Give us a call if you need any help – (877) 735-5224.
If you want to sell your business quickly and for a decent profit then you absolutely need to avoid these 7 critical mistakes many business owners make when trying to sell their business…
Want to Sell Your Business? Call Vested Business Brokers at (877) 735-5224
Hi, my name is Nathan Goldstein with Vested Business Brokers. We help people buy and sell profitable privately held businesses. We’ve closed over a thousand of them. We probably do this business better than anybody else in the world. Today we’re going to discuss the seven mistakes that sellers make when they put their business up for sale.
Mistake #1: Not having the Proper Confidentiality Agreements in Place
It is crucial that you have the proper confidentiality agreement in place before you speak to a potential buyer about your business. Literally, 99.9% of the sellers who go out to sell their business on their own make this critical, very dangerous mistake of talking to people. You don’t know who you’re speaking to. It can be a competitor or the competitor’s brother. Now you’re excited, you have a buyer, and you’re now sharing the private information, your private business model with this person, and it’s like giving them the code to the safe. Please, do not try to sell your business without the proper confidentiality agreements in place.
Mistake #2: Putting the Name of Your Business in Your “For Sale” Ads
The second mistake that we’ve seen, and we see it all the time, is that the seller puts the name of their business in their ad. Now, folks, you don’t want to do that. It’s very bad because if you were a client of your business, and you knew that the business was up for sale, would you continue to do business with that client? So everybody gets nervous. So first of all, your business customer gets nervous, and then if somebody comes in and says, “Oh, I heard that your business was for sale”, and says it to one of your employees, now your employees start to get nervous. So you’re creating your own earthquake within your business, and walls start rattling and you start to get nervous, and it’s out there. And once it’s out there, you can’t take it back. So do not put the name of your business in your ads.
Mistake #3: Not Having a Process to Properly Value Your Business
Often business owners think they know what the business is worth, but they don’t properly value the business based on what’s called “owner’s discretionary cash flow”, the benefit to the owner, and what multiple that business should be sold at. So there are many different aspects to that, like if there’s a license, or the business has a specialized asset like a website that has value. It might demand a larger multiple, but if you don’t get all the multiples correct, you might improperly price your business. Very important to make sure that all your assets are priced correctly to the peer group.
Mistake #4: Giving Out Too Much Information Before You Have a Letter of Intent From the Potential Buyer
A letter of intent is a written agreement signed by a potential buyer which formally states the buyer’s intention to purchase a particular business.
Many times we see a seller give all of the information to a potential buyer and then they’ll never hear from that buyer again. The buyer has not had a formal process to buy the business. Do not give the buyer all the information until you have a letter of intent in place and you know what his intentions are.
Mistake #5: Not Believing That Your Business CAN Be Sold
Listen…if you have a PROFITABLE, privately held business, the it is a business that CAN be sold. Said another way…if your business is in profit, then there will almost certainly be a buyer who wants to buy it.
Mistake #6: Thinking That Your Business is Worth More Than It Actually Is
Pricing the business above the peer group without the proper terms and conditions could really dramatically affect your sale. In fact, you might not sell your business. Now eighty percent of the businesses that come to market, come to market with the wrong price and the wrong terms and they don’t get sold. So it is critically important to price your business correctly.
What is the “moving market”?
Many times, I’m asked, what is the moving market. Well, you know, a company in New York might sell at a higher multiple than a company in Louisiana. So it depends on where you are, the location, how long the lease is, and what the market is, what the market bears, the local market bears for the multiple for your category. If you have a competent broker, he should be able to tell you where the moving market is at any given time. Here at Vested, we keep that data in every single category that we sell.
Mistake #7: Trying to Sell Without the Help of a Business Broker
A competent broker like the professionals at Vested Business Brokers will have a process to sell the business. The first process is you fill out a listing agreement. A valid listing agreement can be exclusive to the firm or non-exclusive to the firm. The second process is that we register and profile every single buyer. We get confidentiality agreements signed so the buyer can get the information on your listing. It’s very difficult for a seller to ask a potential buyer for a confidentiality agreement before they speak. They critically make that mistake all the time.
We’ll go over the processes with you, and we’ve sold over a thousand transactions. We know how to get the deals done. We’ll help you get the best price with the right terms, the right conditions, meeting them at the moving market and getting you the price that you’re looking for, for your business. Now it has to be fair and equitable for a buyer. If you price the business too high, you’re never going to sell it. If you price the business with no terms, it makes for a much more difficult deal than pricing with the proper terms and conditions. That’s where the broker will come in and help you. I wish you luck.
