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Does one NEED a Business Sale Broker to list on this site (and others) - what is recommended?

Wondering how essential a Business Broker is to selling a business. Pros and cons? Thanks!

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Answers (4)
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The BAF Group LLC
MD

Michelle, you don't ALWAYS need a Broker - although I am a Broker! Apparently, longer answers may be the technical issue I have encountered. If you want to contact me by e-mail at combroker@bafgroup.com, I will be happy to give you a fairly balanced response.

Aug 18, 2011
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Sorry Don - I have no idea why it's not working. Hope to hear some great feedback!

Aug 17, 2011
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The BAF Group LLC
MD

There is apparently a technical problem in answering your question. I have tried three times, without success, yet other posts have had posed no difficulty.

Aug 17, 2011
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The BAF Group LLC
MD

My answer will be biased, because I am a Business Broker. But I can tell you that not all businesses need a Broker. Many do, and many should be represented. Not knowing what your particular situation is, I cannot specifically tell you whether yours is a candidate for outside representation or not.

I can tell you that one business I am currently representing would not be under contract, were it not for my Company. The attorney representing the Buyer assumed the deal was dead, until I got involved with City authorities and got the permissions required to keep the ball rolling. We settle on the 25th. I can tell you of another deal where the Seller got twice what he assumed his business was worth, because of our efforts. In the vast majority of cases, our commission is more than paid for by the added pricing and service we provide.

What business are you in? (I am not really asking for a written answer; it is a rhetorical question.) Could your clients or customers do as good a job as you? A GOOD Business Broker is a specialist in his/her field, and brings a lot of experience and knowledge to the table. He/she can do a much better job than the average business owner, because of that special knowledge.

Some people go to their own Residential Real Estate Agents, to do the job. We don't sell houses because we do not have that kind of specialized experience; we don't recommend that a Residential Agent sell businesses. We have a Real Estate License, too; however, our knowledge again is specialized in different ways. Would you have your gynecologist take out your tonsils? He/she is a doctor, right? What's the problem, then?

For that matter, would you represent yourself in court, if you were being sued? Would you do your own colonoscopy? I don't cut my own hair. I don't put new siding on my own house. It is a matter of knowledge, experience and having the right tools.

On the other hand, I told a gentleman last week that he would be better served by not hiring us as his Brokerage. It was a very special situation, and he seemed to appreciate my candor.

It is not an easy question to answer. Good luck.

Aug 17, 2011

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