Chris Jones’ Post

5 important questions to ask your business broker: (If they can’t provide good answers, they may be overinflating the sales price to lock you in as a client) 1\. "How did you arrive at this valuation? Can you walk me through your methodology?" 2\. "What comparable businesses have sold recently, and how do they relate to this valuation?" 3\. "What is the average time on market for businesses in this industry and price range?" 4\. "If we don't receive offers at this price, what is your strategy for adjusting the price or marketing approach?" 5\. "Can you provide references from other business owners you've worked with in similar industries?" These questions protect against brokers trying to “buy” your listing. The unrealistic sales price they give you may sound great… but it only ensures that your listing will be beat down by the market and left until it goes stale. And if they can answer all of these questions with EVIDENCE? They are an honest and trustworthy broker.