The Sale of a Business Requires Confidentiality, Experience & Financial Acumen
One of the many reasons to use a business broker and advisor is that the sale of a business requires confidentiality. It is important that the business remain at peak performance during the selling process. There are times when announcing that a business is for sale will affect sales, operations, employee turnover and client loyalty.
Buyers who look to buy an operating business are attracted by the prospect of continued performance. The benefit to buying an existing business is its history, ongoing sales, market share, key employees in crucial roles as well as its established Brand. A widely advertised non-confidential sale of a business could and does affect all the benefits of buying an ongoing business enterprise.
When selling through a real estate agency they tend to use the shotgun approach to advertising that the business is for sale. Real estate agencies rely on signage on the building which is an invitation for competitors to seek out and approach the clients of the business that is for sale.
Even when real estate is included in the business that is for sale, a real estate agency is just not the right choice. There are reasons that a Business Broker and Advisor is the right choice when selling a business, it includes:
- Proprietary contacts
- Experience in pricing, negotiating, and confidentiality advertising businesses for sale
- Financial acumen, understanding what buyers need in the financial performance of the company and getting the company platform ready for the sale
At the top of the list when choosing a Business Broker over a real estate agency is that the sale of a business requires confidentiality.
5 Ways that a Business Broker Provides Confidentiality when Selling a Business
- Confidentially Network the Sale - Business Brokers keep contact with a network of other business brokers as well as private investors and verified buyers. They use direct contact such as private email and phone numbers to reach out to potential vetted buyers.
- Advertise to Buyer, Not the Public – Business Brokers have aggressive advertising programs geared towards putting your business before the eyes of buyers. Instead of signage that will hurt an ongoing business, the experienced Business Broker will list your business for sale in various industry specific databases, internet sites and publications which are constantly updated.
- Protecting Your Information – The Business Broker is experienced in analyzing business financials and is aware of how to protect your information during marketing, after a qualified offer is received and throughout the negotiation process.
- Creating Competition and Higher Bids – A Business Broker with a network of contacts among other Business Brokers, Investors and Business buyers can create a competition for the purchase of the for-sale business. Buyers are vetted to ensure that they have the financial means to complete the transaction upon bidding. A Business Broker can pit buyers against each other, however, qualifying buyers so that they may present the best possible buyer to the seller for a smooth transaction at the best price – is the key component to the process.
- Knowing How to Negotiate – A Business Broker is skilled at negotiating on your behalf. They are knowledgeable about company financials and know how to protect confidential information throughout the process.
Confidentiality is Vital in Business Sales, Mergers and Acquisitions
Transworld Business Advisors of Indiana is part of a national network of specialists who are experienced professionals in the sale of businesses. Their professional Business Brokers are also skilled at the delicate balance of privacy needed when executing Mergers and Acquisitions. This put them clearly in the forefront in their ability to represent the sale of a business that requires confidentiality. Contact Transworld Business Brokers for a private conversation and strategic plan to sell your business with confidentiality.