Small Business For Sale

The first step in executing a smooth business sale is always determining a fair value for the company. This often involves having a comparative market analysis (CMA) and/or appraisal done. After that, the hard part begins: finding a buyer and making the sale.

The pool of buyers for a small business is vast, but can generally be fit into one of three categories: buyers related to the company, buyers unrelated to the company and the general public in the form of an initial public offering (IPO). Small businesses that are not large enough or successful enough for an IPO must find buyers from the two former categories.

Business Sales Using a Broker

Buyers related to the company include the owner's friends and family members, employees, suppliers and competitors. While these buyers are known to the company, the services of a broker can be helpful in approaching buyers and facilitating a sale.

The services of a business broker are typically required to locate potential buyers unrelated to the company. Hiring a broker to help sell a company opens up the pool of potential buyers greatly. Business brokers keep extensive lists of contacts in a wide range of industries from which they can draw. Additionally, brokers can list clients in regional and national databases used by potential buyers and other brokers. These databases can be perused by buyers far and wide, but contact information about companies for sale is only available through a broker. This protects the confidentiality of the companies for sale.

RPI Commercial is a brokerage firm with extensive experience buying and selling a wide range of businesses. Call 1-877-549-5210 or send an email to info@rpicommercial.com for more information.