When it comes to selling a business, one of the things that a business owner has to keep in mind is whether to hire a consultant or a business broker. Consultants usually have relevant experience, but only a few of them have relevant experience in selling a business. Selling a business is different from selling other stuff. Everything should be concise and precise. What consultants or general advisors usually do is give general information, and it may or may not help with the valuation.
Selling a business is a serious matter, especially if your goal is to sell it at a maximum value. Advisors or consultants don’t really have the skillset and technique necessary to make a difference in valuation. They could give advice, and you can implement it, but it does not guarantee valuation. Why? Because they handle much stuff. They don’t usually specialize in a specific niche. If you are going to hire a liquidity consultant, you have to make sure that:
- he/she sells businesses full-time
- he/she is a licensed broker
- he/she can take you from consulting before taking it on the market and sale
- he/she speaks your language
Miscommunication is common, not only in selling businesses but in other things. It may sound like a simple concern, but in reality, it can break even the best deals. There’s much miscommunication when a businessperson works with a banker and, later on, realized that entrepreneurs don’t speak bankers and vice versa.
If you are going to hire a broker, make sure that the broker is an experienced entrepreneur, someone who has been in the business of selling businesses for a long time. Why? Because plainly, that person speaks your language. He understands you better than anybody else and can guarantee great results, which is maximizing your sales price.
If you can’t decide whom to choose – a consultant or a business broker, do not hesitate to contact Robert Hirsch of Freedom Factory.