Did You Know? 90% of all of the people who begin the search to buy a business never complete a transaction.
Broker Opinion of Value (BOV)
This is not an appraisal. This is the broker’s opinion of the value of your business based on their experience in transacting with similar businesses.
Just as it sounds. A simple agreement that allows VBB to list and promote your business.
This helps us learn about your business in more detail so we can sell your business for it maximum potential.
At this point you are provided with access to the confidential business review.
Frequently Asked Questions
What Should I Pay For A Business?
The short answer is what the market says it is worth. The long answer is there are several ways to price a business. We use “rules of thumb” to determine what we will ask for a business. The basic rules depend on several concepts of value, but all include “DUST”. DUST stands for Demand, Utility, Scarcity and Transferability. If the business sector is in demand, the processes and internal workings are easy to learn and are in good order, how many competitors does the business have and are they viable alternatives in the marketplace, and the transferability of the business (good books and records, current ownership structure, employee loyalty, etc.).
We generally use either the trailing 12-month gross sales number or the “Sellers Discretionary Earnings” and assign a multiple according to these DUST factors.
How Long Will It Take To Close On A Business?
This is a difficult question. Some businesses sell very quickly, and others can take a long time. Complications can always come up and extend the time line. Generally, the bigger the business the more time it takes to consummate the deal. Studies show hiring a professional business broker will help you close quicker.
What Type Of Business Should I Buy?
Generally speaking, you should look into a business that see yourself becoming passionate about growing. Your personality and interests will go a long way to helping you think along those lines. We like to stress thinking about the potential future earnings of a business at least as much as the past earnings we can document through due diligence. Picturing yourself leading those efforts should be your focus when you think about buying a business.
Do You Offer Ongoing Consulting Services?
Absolutely! We are excited about your success in your new business as well. We can help with many ongoing consulting options before and after you make your final decision on a purchase.