At the most basic level, a business broker is merely an intermediary who assists with the selling or buying of a business—and in fact often handles both sides of the transaction. A good comparison is a realtor, who facilitates the sale or purchase of a house or other piece of real estate by having the knowledge, experience, and networks to determine the optimum sale or purchase price, effectively market the property, identify opportunities that meet the buyer’s needs, advise on possible stumbling blocks, and smooth the closing process. Similarly, a business broker is a facilitator for both buyers and sellers. In most cases, however, the sale or purchase of a business is much more complex than a real estate transaction.
Business Valuation Services: How a Business Broker Can Help
A business broker is your partner throughout the process of buying and selling a business, assisting you with the details and complex processes involved. The valuation of a business, for example, must take into account numerous factors. Establishing a fair price requires a significantly different approach for a business that is asset-heavy, such as a manufacturing enterprise, compared to one that is cash flow-intensive like a restaurant. It’s simply not feasible for an individual broker to develop true expertise in more than a handful of industry sectors. That’s where a firm like BroadCreek, with a deep and broad bench of in-house expertise, becomes an asset.
What makes a good business broker?
A good broker must also have the networks and resources to widely market a business—and more importantly to reach those who have the interest, expertise, and financial wherewithal to buy a company. With its extensive client base and industry contacts, BroadCreek Group has the ability to quickly locate potential buyers and identify opportunities for those looking to acquire a business.
Discretion is of course vital to the sale of a company as well, especially in the early stages. BroadCreek can screen potential matches and negotiate the initial stages of a transaction for you, soliciting indications of interest and letters of intent. This necessary but usually time-consuming process screens out the “tire kickers” and those without the willingness or ability to pay what the business is worth. Having a trusted, confidential business broker on your side can help to move the process along more quickly for both business buyers and sellers, while freeing up your time to focus on other efforts.
Business Brokers in North Carolina, South Carolina, Virginia & Maryland
It is important to understand that most states—including North Carolina, South Carolina, Virginia, and Maryland—have no licensing requirements for business brokers. That makes careful selection even more critical. BroadCreek Group features accredited business brokers from the American Business Brokers Association. We also require that our brokers hold an advanced degree, such as an MBA or MS in finance, and each of our brokers also must have been former business owners. This guarantees you the highest degree of expertise in guiding your transaction whether you are buying or selling or selling a business across the southeast.
BroadCreek is a full service business brokerage and financial management firm. We specialize in assisting business owners and individuals in the confidential sale and purchase of privately held businesses.