12/8/05

Are Older Listings Worth Looking At?


I sometimes get the comment from business buyers, "If a listing has been advertised for more than a month and has not sold something is probably wrong with it".

Nothing could be further from the truth. Usually the listing is not marketed or advertised correctly and has been sitting there because the business broker or owner does not know how to market the listing correctly and it just doesn't get the right exposure to the right buyers.

Also a business could go into due diligence immediately after being put on the market and that process could "tie up" the deal for several months. If the deal falls out and comes back on the market, it would appear to the casual business buyer or observer that the listing has been on the market awhile with little or no action.

Never assume that if the listing has been on the market for awhile that it's a bad listing - still pursue it and do your own investigative work if you really like the "feel" of the business being sold!

As stated in my books on selling a business, most businesses take between two to six months to sell if marketed/advertised correctly.
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