A lot of small business owners fail to see the importance of having a broker on their side before and during the sale of their Las Vegas business.
In fact, business brokers are a critical factor in not just marketing the business, but in assisting the business owner to get the company prepared for the sale. They will also manage the negotiations and ensure the best interests of the sellers are maintained at all times during the process.
To understand the importance of brokers for the seller, consider the following support and services these professionals offer. Or course, different business brokerages may provide various levels of services, so shopping around for the best company is always the most critical first step.
Business Valuation
Knowing what the value is for a business is an important aspect of deciding if it is the right time to sell. A business broker will be able to accurately and objectively valuate the business based on several different factors.
Different business brokers may use different formulas, but the most accurate break down different aspects of the business including the customer base, assets, debt, ongoing contracts, revenue and even the number of employees and management style.
Vetting Buyers
For an established, successful Las Vegas business, maintaining confidentiality about the pending sale as well as in sharing company financial information with potential buyers will be important.
By using experienced business brokers vetting of potential buyers can be completed by the broker, ensuring the competition is not taking this opportunity to find out about your company and customers. This is a very important aspect of the broker’s services and it is the only way to make sure the sale is private and confidential until it is time to give notice to employees, customers and suppliers
.
Increasing the Value
In many cases, the broker will work with the business owner to develop a plan to increase the value of the business. This process can include steps such as formalizing business relationships with vendors and customers through contracts, having managers in place, or even updating old system to include new technology.
The broker can also help in negotiations. These professionals only work with business sales, so they have a network of colleagues and connections to assist in all aspects of the sale. This networking and resource function is a benefit to move the business as quickly as possible.
