About This Blog
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Peter Siegel, MBA is a nationally known consultant and author - with over 25 years experience on the topic of selling, buying, and niche financing (the purchase of), small to mid-sized businesses. His clients include: business buyers, business owners/sellers, small business advisors, business brokers, and agents. Mr. Siegel can be reached directly by phone at (925) 830-3447. |
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This Blog contains observations, tips, news, events, and case studies relating to selling or buying a small business. |
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This Blog is ideal for business buyers, business owners, advisors, business brokers & agents. |
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Disclaimer
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Opinions expressed on this site do not necessarily represent those of USABizMart. |
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Opinions expressed here do not constitute legal advice. Those interested in specific guidance for legal matters should seek competent professional advice. |
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9/14/05

Selling Without A Business Broker & Setting A Price To Sell

I am selling my business because I am want to relocate, maybe back to the East Coast where my wife and I are from. I decided on selling the business myself versus using a broker because I could not justify the 10% most brokers were asking for. It is not like they have a Multiple Listing service, so basically I felt I could do everything they could. To set the price I asked several of industry contacts (both marketing and real estate), other business owners (who recently sold their business or were in the process of selling) and business brokers. All of these people have seen business recently and are aware of the approximate multiple of net profit for setting the price. Comments & Advice From Peter:Since you have been in the industry before you were in this business and because you have the time to take calls from buyers and show your business then not using a broker to sell your business yourself. However I usually suggest utilizing a professional business broker to sell a business if you do not have the time or expertise in the selling process. Be careful in setting your price yourself, it may be advisable to get a 3rd party professional business valuation to realistically see what your business is actualy worth. Just remember that if there is going to be financing involved for the purchase of your business the price may deviate from a standard business valuation since lenders look at adjusted net income and pricing differently than business owners and business brokers.• Technorati • del.icio.us • Digg It • Furl • ma.gnolia • Spurl • Yahoo MyWeb
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