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Why Use A Florida Business Broker?

April 1, 2016

One of the most frequent questions asked by prospective business buyers is whether or not they should hire a business broker. The initial response is always: “yes… but.” The “but” is that you should “use” one, not “hire” one. A business broker can have a very specific and important role in the buying process. The “but” is related to understanding what that role is.

Business Brokers in Florida almost always represent the deal in a transactional role. The seller pays their commission and even if they are assisting you in the process.

Business-For-Sale Listings

They can provide you with access to business-for-sale listings and details about the business that you may not discover on your own.

Always Good To Have A Buffer Between You and The Seller:

They can be a conduit to help deliver bad news to the seller. There may be instances where you have to retract or modify an offer and certainly times where you’ll need to adopt an aggressive negotiating position. Since you’ll most likely need the seller to train you after the purchase, it’s not a good idea to aggravate them too severely. As such, let the business broker deliver the bad news.

The Paperwork Is Astounding

A Florida business purchase, no matter how small, requires a tremendous amount of coordination and document chasing. The data you’ll need from a seller to evaluate a business, the documentation required to close a deal and the overall chasing that must be done between buyer/seller and their professional advisers, can be astounding. A good broker will be an enormous help putting all of it together.

A business broker cannot help you buy the right business. They can assist you, but ultimately it is up to you to make that decision. A business broker cannot afford to spend countless unpaid hours searching for the right business for you. The search is something that you must do. They’ll provide you with the tools to do it, but it’s your responsibility to get the ball rolling. A business broker cannot conduct the investigation for you. They may suggest common things to look for, but they won’t be your detective. A business broker cannot negotiate the best deal for you. Most will certainly attempt to bring all parties to a point of understanding, but if you want the best deal, then you must realize that nobody cares more about your investment than you do.

Don’t just call or email a broker inquiring about a particular listing. The point of your contact is to first determine how effectively they communicate and to get the dialogue going.

In your first contact, don’t ask for three years of financials or other confidential information. Simply express your interest and request that they send you a standard non-disclosure document to execute so they will be able to tell you more about the business – Help Them to Help You.

View our over 4,000 listings for sale at: http://www.FLORIDABusinessOpportunities.com

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