Selling a business can be a complex and time-consuming process, and it’s not uncommon for business owners to consider handling the sale themselves in order to save money on commissions and fees. However, in most cases, it’s actually better to hire a broker to sell your business rather than trying to sell it yourself. Here are a few reasons why:
Business brokers are professionals who have extensive experience in buying and selling businesses. They have a deep understanding of the market, and they know what buyers are looking for in a business. They also have a network of contacts in the industry and can tap into this network to find potential buyers for your business. In contrast, if you try to sell your business yourself, you may lack the knowledge and expertise to effectively market your business and attract the right buyers.
When you are selling a business, confidentiality is crucial. You don’t want your competitors or your employees to find out that you are selling until the deal is done. A broker can handle the sale of your business in a confidential manner, ensuring that the information is only shared with qualified buyers.
Negotiating the sale of a business can be complex, and it’s not uncommon for negotiations to break down at some point. A broker has the experience and expertise to navigate these negotiations and help you get the best deal possible. They can also provide valuable advice on how to structure the deal, such as whether to include an earn-out or other contingencies. If you try to sell your business yourself, you may lack the negotiation skills and knowledge to get the best deal.
Selling a business is a time-consuming process, and it can be especially challenging if you are also trying to run the business at the same time. A broker can handle much of the work involved in selling a business, freeing up your time to focus on running your business.
Studies have shown that businesses sold by brokers tend to sell for higher prices and have a higher success rate than those sold by the owners themselves. This is likely due to the expertise, confidentiality, and negotiation skills that brokers bring to the table. By hiring a broker, you increase your chances of a successful sale and a better return on your investment.
Of course, hiring a broker does come with some costs, in the form of commission or fees. However, these costs are typically a small percentage of the sale price of the business and are often more than offset by the increased chances of a successful sale and the higher price that you are likely to get for your business.
In conclusion, while it may be tempting to try to sell your business yourself in order to save money on commissions and fees, in most cases, it’s actually better to hire a broker. A broker can provide the expertise, confidentiality, negotiation skills, and time-saving benefits that can help ensure a successful sale and a good return on your investment.
When it’s time to sell your business, call the experts at Murphy Business. Our phone number is (727) 725-7090, or you can reach us by filling out the form on our website.