What questions should I ask the broker?

by a searcher from Golden Gate University

5 months ago

Hi all! I'm new to the Searchfunder community, and I've found a professional services firm that I am interested in (as owner-operator). Can anyone share a resource or two on questions to ask the broker? Apologies if this is a green question -- I am very new to this process and trying to capitalize on a boomer retirement in a field I have the skills for.

(Note: This isn't geared towards legal/accounting due diligence as I have resources for that. This is more about my interactions with the broker.)

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25 comments

searcher from University of California, Berkeley - Haas School of Business

This is very helpful! Thanks for sharing.

4 months ago | like reply | 0 likes

intermediary

1.How can you assist in developing a pricing strategy to attract the right buyer? Note: A broker's vested interest (commissions as % of transaction price) is not really aligned with your desire to acquire a good business at a reasonable price.
2.What kind of support do you provide during the negotiation process?
3.What are some of the common problems that arise during the transaction process? How do you help resolve them?
4.Can you share some examples of successful sales of similar businesses?
Hope these questions will help you more fully assess the capabilities and resources of your broker.

4 months ago | like reply | 0 likes

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