Until they are faced with the unforeseen need to sell their business, most business owners are not familiar with the term 'Business Broker', Unlike a Commercial Broker that specializes is 'commercial property' and Residential Broker that specializes in selling homes, a 'Business Broker' specializes in business sales.
As with everything else, working with a specialist in his/her field usually brings better results. Therefore if you were to sell a business in Austin, it's a good idea to look for a dependable business broker in your area. For the right price, any business can be sold. However most businesses go unsold. Therefore, selecting the right business broker is the most important part of selling your business. A good business broker will have the skills and experience to maximize the probability of success. Here are some of the things to look for and avoid when searching for a 'Business Broker'.
1. Make sure the Business Broker is licensed by the Texas Real Estate Commission to represent you and your business in transferring your ownership or lease of the property.
2. Ensure that the business broker has sufficient experience in the local market. There are many 'brokers' stumbling into this trade and most of them do not last beyond a few months. Unless one has been doing this for a few years, the broker will not have enough experience to handle any situation or roadblock that are unique to all business sale transactions.
3. Be wary of business brokers that have too many listings. Because of the time and work involved in packaging and selling a business; at any given time, a broker can handle up to 10-12 listings. If a broker has more listings, it should raise a red flag: Either the broker is a telemarketer that will sign up any listing at any price and hope that he will get lucky at some point; or the fact that he/she has too many unsold listings is a sign of general incompetence.
4. Beware of 'networks' and 'franchise affiliates'. A serious 'motivated' business buyer will be interested primarily in the 'business'. Many new brokers latch on to a network to gain 'credibility', but eventually it cannot replace experience and knowledge.
5. Seek Business Brokers in Austin that are established. Rather than going with a broker that has switches companies every few months, and goes in and out of the trade, pick one that has been building up his/her practice for a number of years.
Bottom line: When you are ready to put your business for sale in Austin, perhaps the most important decision a business owner can make is picking the right and qualified business broker in Austin. A good broker will have the tools and experience to get the results to sell your business.