Can anyone comment on their experience with BizBuySell?

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January 12, 2022

by a searcher from University of Texas at Austin in Sioux Falls, SD, USA

Wondering how effective is BizBuySell and other listing services as a source of deals. How about business brokers in general? It seems they mostly handle small deals. Any success or recommendations on this front?

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Reply by a searcher
from Brown University in San Francisco, CA, USA
Jose, depends on your budget.

BBS is the lower end of the market, as you point out. So among people looking for bigger deals (those doing a traditional search fund, for example), it probably isn't worth their time.

But for those looking to buy in the < $1.5m range, it can definitely be a source of deals.

Probably 8 of my guests on the Acquiring Minds podcast found their business on BizBuySell.
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Reply by a searcher
from Southern Methodist University in Dallas, TX, USA
I tried the BBS route for a handful of months and all the companies I vetted suffered from a lot of the same issues... selling on a peak year, poor calculation of "seller's discretionary earnings", brokers setting unrealistic pricing expectations with sellers, etc.

After these experiences with BBS, I decided to put most of my focus on proprietary sourcing (which comes with its own headaches but I prefer it).

Best of luck in your search.
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