Don’t Blow Your Money When Trying To Sell A Business!
This will be a short post as I want to get it to you quickly. I have advised clients about this in the past but following a recent marketing campaign by a firm claiming to be business brokers, I thought I should re-post this message.
Basically, there are a few large corporations out there making claims to be business brokers and selling businesses via very expensive glossy advertising in magazines. Sometimes the company involved claiming to sell businesses has interests in the media publication involved.
Their Main Interest Is To Sell You Advertising – Not Sell A Business
Before you engage anyone to sell your business, check out the following;
- Are they registered business brokers complying with Australian Government regulations?
- Do they know and operate in your local market? That is, do they have an office in the state and people on the ground?
- Did you get a written appraisal of your business or did you just ‘agree a price’?
- Can they give you names of business owners for whom they have sold businesses?
Just make sure you do your due diligence on anyone before you list with them and find out how they will go about selling your business, not just placing an expensive advertisement in a magazine. For detail about how the ACCC and the NSW Government view these people READ THIS! It includes a sample of a recent marketing campaign and an Australian Institute of Business Brokers press release.
On a slightly different topic – also beware ‘online business evaluations’. Many of these are based in the USA and in any case are very basic and unlikely to reflect true local market values in your area.
To get the low down on valuing a business and preparing it for sale, attend one of my half day workshops. DETAILS HERE
Until next time – keep those numbers going up!