Wednesday, October 3, 2012

Aiding Sellers In Receiving The Maximum Price For Their Business

Aiding Sellers In Receiving The Maximum Price For Their Business



According to the International Business Broker Association IBBA), businesses valued at less than $2 million dollars tend to take seven months or less to close. Those valued between $2 and $5 million take eleven months or less to successfully close while those valued at $5 million or more take anywhere from six to nine months to sell. Of those businesses valued at $5 million or more, 8% took two years or longer to successfully close. Brokers do expect to see an upward trend in this market over the next three months.

Adequate seller representation is needed during this process to generate a satisfactory outcome. According to the IBBA, unrealistic expectations are the number one reason why sales are not completed. My goal is to ensure each client understands the sale process. In order to achieve this goal, the first step is to have the value of the company calculated. Sellers often make use of the net income on the federal tax return to determine cash flow. In all actuality, non-cash expenses must be added back into earnings along with discretionary expenses. Market conditions and valuations must be added in along with buyers' and lenders' approaches. I can be of great assistance during this process as I provide reasoning and rationale to back up the valuation."

When the valuation is complete, I develop a customized and confidential marketing plan to target those buyers most likely to pay full value for the business. My company, Florida Business Exchange, maintains databases of potential buyers which meet necessary requirements such as ability to run the company successfully and have the funds necessary to purchase the business. My goal is to find a number of potential buyers to ensure each company sells for the highest price possible.  

Once a buyer has been located, I manage the period between receiving the offer and closing the transaction.  I facilitates the due diligence process while coordinating with outside legal counsel to ensure all necessary legal documents are drafted. As the broker I also coordinate the final closing date and obtain approval from all parties. I will attend the escrow closing to ensure all documents are in order.   


For a complimentary consultation:
Contact  Cecil Williams (cecil@bizbrokerflorida.com) or call  at 888-925-5055 ext.206.  Visit my personal website to search for business for sale in Florida www.bizbrokerflorida.com  Also, visit our Florida Business Exchange website at www.fbxbrokers.com

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