To: Lloyd227
Business Broker for 15 years in California- now retired.
Seek a specialist in your type of business and it might be that now you can use the internet and sell it yourself.
You might want to get more than one gent by giving out open listings. Most brokers charge a fee of 10%. Have good profit and loss statement for three years too.
3 posted on
02/09/2010 9:06:08 AM PST by
drdemars
(Each moment new)
To: drdemars; Amadeo
Thanks for the tips, I hope you don't mind entertaining a couple of questions:
- Is there any such thing as a certifying or licensing association for business brokers? i.e. some way to tell if they're at least being self policed as opposed to someone just released from prison last month?
- How would one go about locating a broker who specializes in my kind of business? i.e. do they list their specialty?
- I assume we can start with a solid non-disclosure agreement, but how "bound" by these is a broker really? i.e. given the financial end of any small or private business, there are discussions which may be both necessary and intended "for this room only".
- Regarding having 3 years of good P&L statements, no problems there but of course any small business has some level of discretionary expenses which should also be accounted for in the valuation of a business right? or will those get left for another day and the valuation based entirely on what's shown on the P&L statement?
- Just how do you go about applying a realistic value to a business that's internet based? I have + or - 100k in inventory, but there is really not much else in hard assets. The value is nearly entirely the proven and ongoing sales, the list of some 7000 active customers, the value of the websites & domains, etc... Is there any such thing as a rule of thumb in setting a value?
5 posted on
02/09/2010 9:15:54 AM PST by
Lloyd227
(Class of 1998 (let's all help the Team McCain spider monkeys decide how to moderate))
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