If you’ve been waiting for the economy to turnaround before selling your business now’s the time to start planning your transition. As bank lending eases and buyer liquidity improves, you’ll want to be ready to tap into the market and take advantage of being the early bird that catches the buyer.
There are already indications that buyers are once again searching for their dream business, along with an increase in business owner’s inquiries wanting sell their businesses. In addition, the SBA has brought their lending rules back into the rational zone, which allows a greater number of potential buyers to take advantage of the eased lending environment.
Another factor important to owners selling their businesses is availability of competent brokers. Unlike selling real estate, where the density of real estate brokers and agents in major population centers is high, the density of qualified and certified business brokers across the nation are few in number. In fact, there are only ten CBI’s (Certified Business Intermediary’s) in New York State alone. Therefore, the supply and demand curve works against business owners delaying a decision to sell, as most of the qualified brokers will soon be pre-occupied once the economy takes off.
Given this state of affairs, the first question a business owner contemplating the sale of their business should ask a broker is, “are you a certified broker by the IBBA (International Business Brokers Association” – the worlds largest professional business brokerage association). A Certified IBBA Business Broker has spent considerable time, effort and investment to ensure they meet the high standards required by their association to professionally serve business sellers and buyers alike. Very much like CPA’s (Certified Professional Accountants), a CBI has to continually sustain his/her certification with continuing education to ensure their clients interests are always catered to in a competent and effective manner.
Don’t take chances, as a long time business owner with so much to lose, why use an unqualified broker to sell your business?…go with an IBBA certified broker and get peace of mind and a successful sale.