How to improve your chances of selling or buying a business
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How to improve your chances of selling or buying a business
Founder of Xcllusive Business Sales, Zoran Sarabaca, says their research reveals a surprising business buyer behaviour.
Whether you are selling a business, looking to buy a business or you are a business broker, it is essential to understand buyer purchasing behaviours.
You may think that the more businesses you look at to buy, the more likely you are to get the best business at the best price. However, that is not always the case.
Our research shows that nearly half of all business buyers only look at one business before making a decision. There’s a couple of reasons for this: many of these buyers are industry buyers that we approach directly when we have a business for sale within their industry.
The other half know exactly what they are looking for and when they see it, they buy it.
Research by Xcllusive Business Sales shows that 22.7% look at 2-5 businesses before buying, 11.4% look at 6-10, 11.4% look at 11-15 and 9.1% look at 15 or more businesses before buying.
The more businesses you look at, the less chance you have of actually buying.
You get paralysed by all the data searching for the perfect business and end up with nothing. If that describes you, take some time to pause and think about what you really want and list your criteria. Then just look at those businesses that meet your criteria.
You also need to be ready to move quickly so have your finances ready to go. Good businesses sell quickly to those buyers who know exactly what they want and only look at one business before buying.
Looking at multiple businesses gives the impression you are a ‘tyre-kicker’ and brokers may not take you seriously and you may not get their full attention.
Business sellers: Don’t just rely on one way of marketing your business. If you do that, you are only reaching about a third of the market. That applies to all sizes of business.
Find a business broker who will not only actively market your business but also take it directly to industry buyers. Marketed well, the best businesses will always sell at the best price.
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