HOW TO QUALIFY A BUSINESS BROKER

Finding the "right" business broker / M&A intermediary is certainly not an easy task. Many are listed in the phone book and many advertise businesses for sale, but how many are experienced, know what they are doing and can really be of help to you?

The following checklist is good start for finding the right broker:

Years Experience

Brokers in business less than 3 years are considered "beginners" in the industry. Experienced brokers generally have 10 or more years of full-time experience in business sales and consulting.

Education

A well rounded broker should have a college degree with a good understanding of finance, marketing, accounting and law.

Resources and Group Dynamics

Does his firm have a minimum of one or two other brokers plus support staff that will generate the activity needed to provide good representation.

Networking

Does his firm have the buyer contacts and broker networks to provide the maximum effort to locate buyers that  might otherwise be missed.  

Facilities

Does his firm occupy an office that appears professional and organized.    

References

Is the broker willing to furnish names of his references, including professional contacts, former buyers and sellers.

Attitude

Does the broker show a genuine concern for your interests? Does he really listen to you or does he just try to "sell you?"  A good broker cares about his clients and works hard to put the best deal together.