Could you do all these on your own?
When you’re looking to appoint a business broker to help you sell your business, choose the broker with the best processes, not the biggest promises.
IT IS THE PROCESS, NOT THE PROMISE, WHICH DELIVERS BEST RESULTS FOR VENDORS!
A. Pre-listing Stage
- Conduct market research
- Talk to owner by telephone
- Prepare for initial meeting
- Prepare marketing material
B. Listing Stage
- Inspect premises, SWOT Analysis on the business and premises
- Gather details – rent, takings, expenditure/fixed costs, wages, trading hours, gross profit
- Analyse strengths and weaknesses, location, industry, demographic
- Understand the Vendor’s needs and plan
- Tailor strategies to maximise success
- Determine target market (Buyers)
- Agree on marketing strategy
C. Marketing Stage
- Market Research
- Discuss business profile with Vendor
- Prepare advertisements in agreeance with Vendor
- Publish advertisements: online, newspapers, emails, direct mail outs, blog, information memorandums, social media (Facebook, LinkedIn, Twitter, WeChat)
- Discuss listings with broking team
- Contact database network
D. Selling Stage
- Meet qualified Buyers, take details of type of business required, locations, premises sought, partners, financiers, budget, business background, industry experience, funds available, security, expected earnings.
- Introduce genuine Buyers to Vendors. Ensure confidentiality is maintained, attend premises with potential Buyers for site inspections. Answer telephone, email and office based queries about the listings in a timely manner.
- Update Vendor on queries and interest
E. Negotiation Stage
- Give Buyer enough information to make decision
- Persuade Buyer to make a written offer
- Discuss price with Buyer, understand Buyer’s motivations, budget, psychology to seal the deal
- Remove Buyer’s “stumbling blocks”, and negotiate sweeteners
- Discuss ways Vendor and Buyer can protect their interests, and any special conditions involved
- Refer parties to specialist advisors (solicitors, accountants)
- Update Vendor on developments
F. Settlement Stage
- Liaise with solicitors, accountants, landlords, franchisors, centre management, banks and lenders (where applicable)
- Provide assistance and guidance so that the Due Diligence process runs successfully
- Ensure all documentation is ready for lease, franchise and finance applications (if applicable), e.g. references, supporting materials
- Ensure balance of deposit is paid
- Check contract and offer are consistent
- Provide training for landlord or franchise interview
- Continued contact with Vendor and Buyer for smooth settlement, negotiate parties through any conflict
- Provide support during trial and assistance period, including preparation of trial documents
- Lead all parties step by step to settlement
G. Post Settlement Stage
- Remove advertisements
- Release funds from trust account to Vendor
- Tidy up, including ensuring Buyer is well set up to take over the business, and solicitor has appropriately assisted client (eg. Transfer of appropriate licences, franchise, lease)
- Ensure funds are released to all parties of interest.
The Difference Between a Good and Great Price is Never One thing, it’s Everything!