Exit Planning Techniques By Market
Selling a Financial Brokers Business
We hear from a lot of business owners who are timid about listing their financial brokers business. Despite the mood of the market, we think there are still opportunities to receive a good price for your financial brokers business. Here's what you need to know . . .
In any economy, there is a right way and a wrong way to sell a business.
There is no simple way to sell a business. But the most prepared financial brokers business sellers are achieving fair market value and more for their companies through persistence and the application of sound selling techniques.
Preparing for What's Next
The decision to sell your financial brokers business can't be made without adequate consideration of what will happen after the sale. many sellers find themselves ill-equipped to handle life after their business and fail to understand that their future plans can influence the sale process. In today's market, many buyers expect seller financing - a concession that might not be a possibility for sellers whose next step requires the entire proceeds at the time of the sale.
Capital is hard to come by these days. Banks and other lending institutions aren't eager to lend to unproven and undercapitalized financial brokers business buyers regardless of the business's potential. Rather than abandon their plans entirely, many buyers are pursuing finance concessions from sellers. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
Broker vs. No Broker
When selling a financial brokers business, you have two choices: Hire a broker to facilitate the sale or perform the sale unassisted. Is there a cost associated with hiring a broker? Sure - about 10% of the final sale prices. But a good broker will make selling your financial brokers business much less painful. You can also expect to receive a higher sales price for your business in a broker-assisted deal.
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